Property Mortgages in Thailand
Buying a home in the "Land of Smiles" is a dream for many, but navigating the financial landscape of property mortgages in Thailand requires a deep understanding of local laws, banking habits, and the distinct divide between how locals and foreigners are treated. While the Thai mortgage market is robust, it is highly regulated under the Civil and Commercial Code . 1 Whether you are a Thai national seeking a 100% loan or a foreign investor looking to secure a Bangkok condo, the path to financing involves specific legal hurdles and strategic choices. 1. The Legal Foundation of Thai Mortgages In Thailand, a mortgage is a contract where the "Mortgagor" (borrower) assigns immovable property to the "Mortgagee" (lender) as security for a debt. 2 Under Section 702 of the Civil and Commercial Code, the lender has priority over other creditors to be paid from the property's value if the borrower defaults. Key Legal Requirements: Written & Registered: To...