Mortgage For (Thai) Wife; Amount Versus Income?

[corkman]

Hi All,

If my wife wants to get a mortgage, based on her income and me as gaurantee, what is the ratio with regard to how much she can borrow? This is with a view to:

• Avoid all that "prove the money came from overseas" crap.
• Avoiding having to put down a huge deposit, because I'm a farang.

I don't care about whose name its in and all that, nor do I care about the term - basically we just want to get the biggest mortgage we can, with the smallest deposit possible, based on her income.

Thanks in advance!

[sulasno]

do you intend to buy a house ?

[corkman]

do you intend to buy a house ?

Yes, a house, preferably a brand new one.

[sulasno]

depending on the banks, most would offer 90% of their assessed value (not purchased price);

depending on the age of the borrower / co borrower, terms can stretched to 30 years provided the borrower does not reach 60 at the end of the term;

if the seller is a construction / development company, they would be able to give you an indication of the monthly installment;

banks base their loan on 40% of your disposable income

[allen303]

My wife and I just financed a house in Bangkok for 4.7 mil. She is a Thai citizen but has lived in the US for the last 20 years. I have a very good job and excellent credit rating and my wife has a good job to which would cover the amount required for the lone. The best we could get is 50%. UOB took our application and we never heard from them again. Several banks would not give us a lone. We finally had to settle for a 50% lone. We will be closing around the 1st of Sept. They just considered my wife's income and stated because we both did not live in Thailand all we could get is 50%. The bank we are using is Siam bank and they did a good job other than the 50%.

Edited August 7, 2011 by allen303

[allen303]

My wife and I just financed a house in Bangkok for 4.7 mil. She is a Thai citizen but has lived in the US for the last 20 years. I have a very good job and excellent credit rating and my wife has a good job to which would cover the amount required for the lone. The best we could get is 50%. UOB took our application and we never heard from them again. Several banks would not give us a loan. We finally had to settle for a 50% lone. We will be closing around the 1st of Sept. They just considered my wife's income and stated because we both did not live in Thailand all we could get is 50%. The bank we are using is Siam bank and they did a good job other than the 50%.

Sorry, loan

[RAZZELL]

My wife and I just financed a house in Bangkok for 4.7 mil. She is a Thai citizen but has lived in the US for the last 20 years. I have a very good job and excellent credit rating and my wife has a good job to which would cover the amount required for the lone. The best we could get is 50%. UOB took our application and we never heard from them again. Several banks would not give us a loan. We finally had to settle for a 50% lone. We will be closing around the 1st of Sept. They just considered my wife's income and stated because we both did not live in Thailand all we could get is 50%. The bank we are using is Siam bank and they did a good job other than the 50%.

Sorry, loan

Interesting...you are saying your wife got a loan based on her overseas income? What proof did they require etc etc?

(Apologies to the OP and his wife who are based in Thailand)

RAZZ

[Soutpeel]

do you intend to buy a house ?

Yes, a house, preferably a brand new one.

About 8 years ago, Mrs Soutpeel (before she was Mrs Soutpeel) got a 100% mortage over 20 years from SCB for 3.5 million, she was not working and was approved based solely on my co-signature, supplied a letter from the company confirming postion/annual salary, had to provide 12 months pay slips, copy of WP/PP as normal in Thailand.....6 weeks later money was paid out, a very painless process from me, sum total of my time involved about 30 minutes with the bank manager.

If I remember correctly, sum total of cash I had to part with was THB 55,000 for some fee's and that was it

[JeffreyMcCollum]

My wife and I just financed a house in Bangkok for 4.7 mil. She is a Thai citizen but has lived in the US for the last 20 years. I have a very good job and excellent credit rating and my wife has a good job to which would cover the amount required for the lone. The best we could get is 50%. UOB took our application and we never heard from them again. Several banks would not give us a lone. We finally had to settle for a 50% lone. We will be closing around the 1st of Sept. They just considered my wife's income and stated because we both did not live in Thailand all we could get is 50%. The bank we are using is Siam bank and they did a good job other than the 50%.

A credit rating in America in America is meaningless here in Thailand. Is your job here or in America ? As well as your wifes job ? Not much a bank can do if your out of the country

My bank, SCB has offered me loans of up to 5 years with 30% down. I live and work here

[allen303]

My wife and I just financed a house in Bangkok for 4.7 mil. She is a Thai citizen but has lived in the US for the last 20 years. I have a very good job and excellent credit rating and my wife has a good job to which would cover the amount required for the lone. The best we could get is 50%. UOB took our application and we never heard from them again. Several banks would not give us a loan. We finally had to settle for a 50% lone. We will be closing around the 1st of Sept. They just considered my wife's income and stated because we both did not live in Thailand all we could get is 50%. The bank we are using is Siam bank and they did a good job other than the 50%.

Sorry, loan

Interesting...you are saying your wife got a loan based on her overseas income? What proof did they require etc etc?

(Apologies to the OP and his wife who are based in Thailand)

RAZZ

They required 6 months of her pay statements, her bank statement from the US and our bank statement from Bangkok bank (I was not on her bank account in the US) her Thai ID card and Thai passport. She has lived in the US for approximately 25 years and has dual citizenship with a US and Thai passport. They did not take my income into consideration, but all my information was submitted with the original loan package (6 months bank statements, work information of mine). It took approximately two months for the loan to go through. When I say 2 months I mean all the paperwork, appraisals and such to give the exact amount of the house value and loan.The loan application was started on a town house with the seller of the town house starting the loan packet. It came back for 50% on the town house. My other sister-in-law,who is a principal at a school in Bangkok, had just bought one of the town houses under construction. So I am unsure if that had any influence on the original loan. I found out a long time ago she has some influence when it comes to dealing with government and banks in Bangkok. We had decided by then to buy a house. We (the seller of the house complex and us) contacted the bank that offered the 50% and they gave the same percentage on the house even though the house was 2.5 mil more. As I stated UOB never got back to us after we completed all the paper work.

We both live and work in the US, so yes they considered her US job income. We also have a house in Ubon that is paid for. They made a copy of the land document from Ubon and attached it with the loan application. They come back within a week and said 50% on the house. My other (not the school principal) sister-in-law was working(working as in the house loan, she is very business savvy) with the lady that is selling the houses in the complex and the loan officer. They asked the loan officer for 60%. This was occurring while we were back in the US. The loan officer went back and tried but his boss said 50% was it. My sister-in-law drew 300,000 THB out of the bank and sealed the deal. We are happy with the final deal. The lady selling the houses came down on the price of the house and as is done in Thailand submitted the house price to the loan officer with our packet.

Sorry if there is too much detail, but I hope this answers all your questions.

Edited August 12, 2011 by allen303

[RAZZELL]

Many thanks, a very thorough reply

Are the bank using your other "paid up" house as security?

RAZZ

[donx]

My wife and I live in the US. She has a friend that doesn't work and also lives outside Thailand. Her friend said that she was able to get a mortgage on a property (I think it was a condo but I don't know for sure) by transferring money to her Thai bank account every month for several months. The money came from her husband. I don't know how much she deposited or how much of a morgage she received. I also don't know what bank she used.

My wife wants us to do the same thing for a house we plan to build in the future.

[allen303]

Many thanks, a very thorough reply

Are the bank using your other "paid up" house as security?

RAZZ

No, we are in the process of selling the other house in Ubon and paying off the house in Bangkok. Also, we paid the large amount down so the lady selling the houses would take another 100,000 off the actual price of the house. That was my sister-in-laws work!

There is an interesting story with the Usufruct on the house in Ubon. When it became time to get all the documents in order to sale the property in Ubon something came up the last minute. I was on the land document (I guess the Usufruct we did). I had to go to the US Embassy and give a power of attorney for my sister-in-law to sell the house on my behalf. We paid a lady near the Embassy to walk the documents through the Thai system and then give to my sister-in-law. I had to be back in Florida in 2 days when the land office in Ubon pointed out the problem.

Edited August 13, 2011 by allen303

[Soutpeel]

My bank, SCB has offered me loans of up to 5 years with 30% down. I live and work here

This will not be a mortgage, this in all likelyhood be a "personal loan", with a high deposit and higher interest rate getting a proper mortgage in a farangs name with a Thai bank, even with a WP is very difficult to the point of being just about impossible.

Co-signing for the loan is one thing, gettting it in your name quite another