Home Purchase Bank Loan Or Mortgage

[DiamondKing]

Which is the best way to go about purchasing a home

1.) Pay Cash for it and then use the title to get a small Bank loan for improvements such as a Pool and enclosing the Large car port to make a Maids quarters and office

2.) Try to get a Mortgage putting 80% down and financing the last amount that I would keep in pocket and use for the improvements

Just wondering which is the most cost effective ie interest rates on a loan compared to a Mortgage

thanks for the input

DK

No need for the I cant own a home etc or I cant get a Mortgage etc I am married and have been for 7 years 2 kids and all honkey dorey its just time to get comfortable and get our own place after renting for 8 years.

Edited December 17, 2012 by DiamondKing

[PattayaPhom]

Get a mortgage on the property and keep the spare cash for improvments, spend all the money on the property, you may struggle to get a loan later.

[TommoPhysicist]

I would say 90% home loan, then keep your money in your bank account.

Edited December 18, 2012 by TommoPhysicist

[Soutpeel]

I would say 90% home loan, then keep your money in your bank account.

Yeap as if things go pear shaped with your nearest and dearest the home loan will be in her name, not your problem ...

[Udon biker]

I would say 90% home loan, then keep your money in your bank account.

Has anyone done this? What percentage do you need as a deposit. I am looking at buying a house in a housing development for about 2.5 M Baht. Wife doesn't have much of a savings history.

Cheers.

[JoePai]

I would say 90% home loan, then keep your money in your bank account.

Yeap as if things go pear shaped with your nearest and dearest the home loan will be in her name, not your problem ...

Not correct - you would be liable for half the debt incurred

[thaicbr]

I would say 90% home loan, then keep your money in your bank account.

Yeap as if things go pear shaped with your nearest and dearest the home loan will be in her name, not your problem ...

Not correct - you would be liable for half the debt incurred

if you not married you would not be.. or if you got married after purchasing the home.. also seeing as how you sign at the land office that you have no say in the purchase not sure how they could claim any thing..

[TommoPhysicist]

oops

Edited December 27, 2012 by TommoPhysicist

[TommoPhysicist]

I would say 90% home loan, then keep your money in your bank account.

Has anyone done this? What percentage do you need as a deposit. I am looking at buying a house in a housing development for about 2.5 M Baht. Wife doesn't have much of a savings history.

Cheers.

The developer can often get a 90% (or more) loan over 30 years with no employment or savings history.

My misses was offered a 2.2M house last week, 200k down, rest over 30 years at 7% (about 15k/month), no job, no savings. (home loan from one of the big banks)

Edited December 27, 2012 by TommoPhysicist

[TommoPhysicist]

I would say 90% home loan, then keep your money in your bank account.

Yeap as if things go pear shaped with your nearest and dearest the home loan will be in her name, not your problem ...

Not correct - you would be liable for half the debt incurred

if you not married you would not be.. or if you got married after purchasing the home.. also seeing as how you sign at the land office that you have no say in the purchase not sure how they could claim any thing..

If married, you would be liable for the entire debt, as the bank require the spouse to sign as guarantor on the loan.

(but as a foreigner if you have no employment in Thailand, they have no way to collect)

Edited December 27, 2012 by TommoPhysicist

[BookMan]

I would say 90% home loan, then keep your money in your bank account.

Yeap as if things go pear shaped with your nearest and dearest the home loan will be in her name, not your problem ...

That would be the most cost effective if things go pear shaped of course.

If they do not, then it would be better to buy outright and get a small loan for the improvements, if need be

[likewise]

Personally I have paid both our properties cash and that's what I would advice anybody else. Why pay %% to the bank ?

[leeroy221]

Likewise, how do you save that much cash? I would love to buy house but just cant save that much in cash unless we waited for 20years!