Selling My Condo

[Gary A]

If I decide to sell my condo would it be legal for me to carry the mortgage for the buyer. His payments would be nearly like rent and I would be collecting much more interest than a CD would give me. It sounds like a good deal for the buyer and the seller. Of course the land paper would not be signed over or given until the mortgage is paid in full. This would be sold this way only to another farang.

[Digger]

I believe that a seller can offer an interest free repayment schedule but I have never done it or expereinced it. I would imagine that the title deed would need to be placed with a trusted lawyer acting as intermediary on the contract until the final payment is made. Def one for decent legal advice.

[lopburi3]

Will echo Digger that you need serious legal advise. My gut feeling would be no. I believe any such endeavor would get you into the money lender category and deep dodo. I expect a banking type licence would be required for such an operation.

[mbkudu]

It sounds tricky because the money from the buyer must come from outside the country to satisfy the Tor Tor 3 requirements. Him wiring you a payment each month plus interest would get very expensive. The payment has to be $20,000 anyway to qualify as a Tor Tor 3 (or whatever it's called now). He may be able to own the title after all the payments are made to you, but he could never get his money out of it if he sold in the future. Sounds like a big can of worms.

[Digger]

Will echo Digger that you need serious legal advise.  My gut feeling would be no.  I believe any such endeavor would get you into the money lender category and deep dodo.  I expect a banking type licence would be required for such an operation.

<{POST_SNAPBACK}>

Thats why you cannot charge interest based on my very limited understanding. Of course in reality, you factor that into the asking price if your smart but nothing can refer to any interest payments.

[Dragonman]

Personally I do not think the mortgage idea is legal and could lead to difficulties for yourself and the purchaser. What I believe would be legal is if you leased the property for whatever period necessary and drafted in an "option" for the other party to purchase for a minimal amount at the end of that period.

[Gary A]

Not wanting to open a can of worms I have decided to hang on to the condo. It has been appreciating nicely. Thanks for the advice.