An important consideration in any Thailand real estate law and planning transaction is finance.
Mortgages are a common way for many people of financing a property purchase in Thailand.
In general, Thailand property law requires that a mortgage contract must:
- Be in writing
- Be registered by the relevant official
- Specify the Thai property mortgaged
- Unless it is specifically agreed in the mortgage contract, the mortgage may be paid by installments.
- confirm in Thai baht either a specific sum or the maximum amount for which the mortgaged property is assigned as security.
- Meet other requirements of Thai law as found in sections 702-746 of the Thailand Commerical and Civil Code.
Mortgages in Thailand, as elsewhere, are usually provided by banks and financial companies. It is also possible for a private individual including a non Thai (foreigner) to grant a mortgage. With regard to obtaining mortgages, banks and finance companies in Thailand may however be more cautious with foreigners due to a perception that their situation is less secure than Thai nationals.
