Property finance by owner

[lannarebirth]

JesseFrank I honestly couldn't give you the exact legal terms for the transaction. I sit on the sidelines when it comes to property transactions.

Looking at the wiki page the closest I can see would be an agreement where both parties are required to sign.

In my western way of thinking I would say the legal agreement is similar to hire purchase or lease purchase. Its an agreement where the purchaser is leasing/renting the property until the final payment is made.

The agreement is registered against the property at the land office. This prevents the seller from selling and/or subject to the agreement, mortgaging the property during the term of the agreement.

The typical agreement i'm familiar with is for a period of 18 months. The buyer places an initial large (25%+) deposit followed by 3 equal payments 6 months apart.

My first experience with this method of property transaction was maybe 7 years ago. Large completed rows of shophouses were being sold as individual shophouses this way. Since then I've seen family and friends buy and sell land, shophouses and established private homes this way.

I'm sure a Thai lawyer will be familiar with this method.

I'm happy for you that your family has been able to successfully sell properties in this way. The Chiang Mai land office has absolutely refused to take part in any such way. What is really required is an escrow agency to protect both buyer and seller. There was news a few years ago that Thailand had established an "Escrow Act" but I have seen little evidence since that it has come to pass.

[dietergerhard]

We are looking for a fairly decent 1 or 2 storey house in the city of Buriram with 500,000 down and looking for vendor financing for the remainder. Good solid Canadian credentials. No problem with worth or credit. For persoanl tax purposes I wish to finance the property but not bother with the hassle of the banks. If you have a house that is reasonably priced for the value of what you have, and are interested in taking back a mortgage let me know.

[lannarebirth]

We are looking for a fairly decent 1 or 2 storey house in the city of Buriram with 500,000 down and looking for vendor financing for the remainder. Good solid Canadian credentials. No problem with worth or credit. For persoanl tax purposes I wish to finance the property but not bother with the hassle of the banks. If you have a house that is reasonably priced for the value of what you have, and are interested in taking back a mortgage let me know.

Best of luck to you. Undoubtedly any seller will want to retain the Chanote title in their possession until the home is entirely paid for. What prevents an unscrupulous seller from encumbering the property while they continue to hold title? You don't want to be in a situation whereby you have to pay for a house twice.

[cheeryble]

Sorry I miswroe in my post 21 above I wrote

"I would consider any mortgagor who didn't want the property in their own name to be gullible."

I meant of course "mortgagee"

Sent from my iPad using ThaiVisa app

[SDM0712]

I can do 1.5% in my Harrow on the Hill Branch!!!! LOL!

And ..again....translate into English

As an Englishman I only speak English, perhaps tainted with two years at a Thai language school. I supposes as agent I also speak rubbish!

I believe I remarked that my company's fees for selling property in our Phuket branch were 5%. I think there was some exclamation and intimation that this was a rather full figure, so I retorted by saying that my branch in Harrow in the Hill (NW London) would only charge 1.5%.

Although true in fact, it was a joke.

SDM

PS Unless anyone has a property in Harrow and I can arrange for one of my staff to give you a valuation (Not a joke)