Mbk Mortgage For Foreigner

[nara80]

I have just got Mortgage info. from MBK as details followed;

Term and Conditions for Foreign Homebuyers; Applicant Requirement

Eligibility: Foreign homebuyers

Employment in Thailand: No require

Permanent Residence: No require

Property Type: Freehold condominium in prime area

Financing terms and conditions

Purpose: Home loan financing

Currency: Thai Baht loan

Loan amount: Min Bt2 mil

Loan quantum: Up to 70% of property price (appraisal required)

Tenor: 2 – 10 years

Installment: Monthly

Payment option: Balloon payment up to 50% of loan amount paid at the end of loan term

Fire insurance: Required throughout loan period

* if age at the end of loan term more than 60, up to 50% of property value

Pricing and Fees:

Interest rate: MLR** + 2% p.a.

Applicable fees: Front – end fees of 1.25% of loan amount

+ Extra front-end fee of 0.25% for maintaining credit available within one year for off-plan project

Commitment fee of 2%

Penalty of 2% of prepaid amount

Other expense: Payable by applicant i.e. mortgage fee (1% of loan value), appraisal fee, out-of-pocket expense and fire insurance premium

** Minimum Lending Rate announced by Thanachart Bank (currently at 6.375%)

Others:

Available period: Up to November 2010

Document required: 1) copy of valid passport (and visa, if applicable)

2) copy of household registration (if applicable)

3) copy of alien certificate or certificate of resident

4) copy of marriage (or divorce) certificate

5) copy of sales & purchase agreement

6) deposit/installment receipts

7) others upon request

*** Terms and condition remain subject to change without prior notice, other conditions may apply

I was told there are few foreigners finish contract at Pattya ( 2 clients in Northpoint project) I didn't ask for other area.

Anyway, I got another info. from Standard Charter Bank (Which can't give foreigner mortgage but they will consider on Foreigner income who will put Thai wife/husband for mortgage)

Loan quantum: Up to 70% of property price (lower of purchasing or appraisal price)

Tenor: Up to 15 years

Documents required:

1) copy of valid passport (certified on every pages, 2 sets)

2) copy of work permit (certified on every pages, 2 sets)

3) Salary slip or Salary certify letter

In case of Juristic person;

- Corporate affidavit

- Company's Memorandum of Association

- Company list of share holder

Interrest Rate:

Opt 1 (Buying life insurance)

1-6 month 0 %

7-12 month 3.75%

2-3 year MHR-1% (5.22%)

4-end of contract MHR-1.25% (4.97%)

Opt 2 (Not buying life insurance)

1-6 month 0 %

7-12 month 3.75%

2- end of contract MHR-1.25% (4.97%)

Promotion in case of Opt1…. Free!

Mortgage Fee 1% of loan value

Appraisal Fee

Applicable Fee 0.125% of loan value

Edited October 29, 2010 by sbk
emails removed

[rak sa_ngop]

One question springs to mind:

If you are buying a freehold condo in your own foreigner name how do you prove that the mortgage monies for the purchase have been brought into the country in a foreign currency? Or maybe the property is purchased in the mortgage company's name?

[nara80]

It’s good Question from rak sa_ngop. I was told in this issue before. There are few steps for MBK mortgage approval.

1) MBK need to qualify building project which they need to site visit asking project developer for information as total building area, total sales area, project facilities, floor plan layout etc.

2) Since project is qualified in MBK project list, they will appraisal the room to be buying.

3) MBK will give loan to project developer to let them managed Tor Tor 3 by themselves.

4) The buyer would inform to land officer that purchasing full amount by Tor Tor 3 and then making mortgage through MBK.

Thus, MBK wouldn’t give mortgage to every project. It also depends on project developer which knows how to making proper paper at land office and can trust them.

As far as I know from my experience, It’s depends on land officer’s consideration which we dealing with as well.

Anyway, all above steps are not typical procedure which you need to ask MBK officer case by case.