The Central Bank of Thailand Simplifies the Rules of Mortgage Lending to Support the Real Estate Market

  • 8
The regulator raises the limit of the loan-to-value ratio (LTV) to 100% by the end of 2022.

Thailand's central bank has further relaxed mortgage lending rules to help the real estate sector, which is struggling with the effects of the pandemic.

According to officials, the limit of the loan-to-value ratio (LTV) has been increased to 100% by the end of 2022 in order to increase activity in the real estate market, which will take years to recover. Recall that earlier LTV was 70-90%.

"Uncertainty remains high, and some sectors are still unstable, so measures have been taken to stimulate the economy and increase jobs," said at a press conference Roong Mallikamas, the assistant governor of the Central Bank of Thailand (BOT).

According to her, these measures will apply to all mortgage contracts, including refinancing.

The real estate sector accounts for about 10% of Thailand's GDP, and employs 2.8 million people, said BOT senior director Don Nakornthab. The central bank forecasts GDP growth of 0.7% this year and 3.9% in 2022 after a decline of 6.1% in 2020.

Southeast Asia's second-largest economy is expected to return to pre-pandemic levels in early 2023. However, normalization of the real estate sector will take much longer, Nakornthab said.

"The economy has already reached the bottom. But without additional measures, it is expected that activity in the real estate sector will not return to pre-crisis levels until 2025," he said.

It is expected that the easing of mortgage lending rules, together with any additional measures, will lead to an increase in the volume of housing lending by about $1.5 billion per year.

Check out available properties in Thailand:
Flat for 35 505 euro in Pattaya, Thailand
35 505 €
Flat in Pattaya, Thailand
34 sq.m 1 1 1
Condo: Club Royal Foreign Name Transfer fee: buyer pay
Hot Real Estate
Flat for 28 930 euro in Pattaya, Thailand
28 930 €
Flat in Pattaya, Thailand
26 sq.m 1 1 1
Condo: Nam Talay Foreign name Transfer fee: 50/50
Hot Real Estate
Flat for 73 640 euro in Pattaya, Thailand
73 640 €
Flat in Pattaya, Thailand
43 sq.m 3 2 1
Serenity Wongamat Codo in 200m from the sea. Foreign name Fully Furnished, 3 TV, 3 Air Conditioners, 2 Beds, Sofa, 2 Cupboards, Kitchenware, Refrigerator On the roof of the pool, fitness room, electronic locks and access control to the building (+ mechanical locks on the apartment doors)
Hot Real Estate
Apartment for 402 583 euro on Phuket Island, Thailand
402 583 €
Apartment on Phuket Island, Thailand
178 sq.m 3 4
In the complex: 36 spacious apartments in 3-storey buildings, only 4 apartments per floor. There is a terrace on the roof with beautiful views of the lagoon and mountains. Two communal swimming pools, garden, lounge area, private parking, storage room, 24-hour security. The apartments have an exquisite interior design, a well-thought-out...
Exotic Property
Villa for 354 448 euro on Phuket Island, Thailand
354 448 €
Villa on Phuket Island, Thailand
91 sq.m 3 3
In the complex: 20 villas in a modern tropical style, with accents on local culture in architectural details, 24-hour security. In the villa: the practical and modern design of the villas, the feeling of spaciousness comes from high ceilings and stained glass windows, natural lighting. Bright, cozy living room, fully equipped kitchen, spacious...
Exotic Property
Apartment for 147 859 euro on Phuket Island, Thailand
147 859 €
Apartment on Phuket Island, Thailand
40 sq.m 1 1
In the complex: a new project next to the legendary Cafe del Mar beach club. There are 265 studio apartments in total, with 1st and 2nd bedrooms. The complex provides all the necessary infrastructure for the full operation of the hotel. There is a reception, lobby, restaurant, underground parking, fitness center and kids club. There are four...
Exotic Property
Flat for 115 720 euro in Pattaya, Thailand
115 720 €
Flat in Pattaya, Thailand
48 sq.m 1 1 1
View Talay 6 Foreign name Fully furnished Transfer fee 50/50
Hot Real Estate
House for 184 100 euro in Pattaya, Thailand
184 100 €
House in Pattaya, Thailand
220 sq.m 4 3 3
Baan Dusit Pattaya Lake Hot offer (price reduced from 12.7 mln THB) Fully furnished Private pool The big garden Land size 808 sqm Pool size 80 sqm
Hot Real Estate
Flat for 309 025 euro in Pattaya, Thailand
309 025 €
Flat in Pattaya, Thailand
66 sq.m 2 1 1
Northpoint Condo Foreign name Fully furnished Transfe fee 50/50
Hot Real Estate
Apartment for 114 608 euro in Pattaya, Thailand
114 608 €
Apartment in Pattaya, Thailand
39 sq.m 2 1 1
STAR is 10th project from the biggest Finnish developer in Thailand. It is also the best project in terms of quality. Only the best materials and construction techniques are used in STAR. STAR is the result of our 13-year experience and expertise in combining the best construction practices of both Finland andtion, materials, equipment and...
Habita International Estates Ltd
Flat for 2 104 000 euro in Pattaya, Thailand
2 104 000 €
Flat in Pattaya, Thailand
337 sq.m 6 4 5
Northpoint Condo This is the projects largest single-story unit and the only one on floor 50 and the communal facilities are just amazing. Enjoy gorgeous panoramic views from virtually every corner of the Penthouse. The wide-open living- and dining-area also holds a top-modern open-plan kitchen that comes with a breakfast bar and all the brand...
Hot Real Estate
Villa for 412 686 euro on Phuket Island, Thailand
412 686 €
Villa on Phuket Island, Thailand
263 sq.m 2 3
In the complex: 51 villas, medical and wellness center Panacee Medical Center, Cafe, gym, park area, children's club and international school, 24-hour security. In the villa: Each villa is built in one of 5 styles that embody different regions of Thailand. All villas consist of one floor, the number of rooms varies from 1 to 3, with adjoining...
Exotic Property
Apartment for 233 437 euro on Phuket Island, Thailand
233 437 €
Apartment on Phuket Island, Thailand
75 sq.m 3 2 2
For sale a brand new apartment in the residential complex Cassia Residence with a total area of 75 sq.m, 2 bedrooms, 2 bathrooms, balcony, new furniture and appliances. The apartment has a beautiful view of the lake and mountains. Cassia Residences is located on Bang Tao Beach, just 400 m from the sea. The apartment features a balcony, a fully...
Phuket Luxe
Villa for 7 401 151 euro on Phuket Island, Thailand
7 401 151 €
Villa on Phuket Island, Thailand
2000 sq.m 6 7
Stunningly Unique Ocean Front Masterpiece with True 5 Star Facilities Features 6 Bedrooms, 7 Bathrooms, 2 Private Pools, 2,000 sq.m interior living and 3,000 sq.m land plot. “The Garden in the Third Heaven” is easily Phuket Island’s most special exclusive resort and lifestyle experience combining first class service,...
Property Investor
Villa for 529 748 euro in Phuket, Thailand
529 748 €
Villa in Phuket, Thailand
300 sq.m 5 3 3
This villa is a mere 2 km from the secluded Layan Beach and surrounded by pristine nature and the grand lake on your doorstep. There are also numerous family-oriented and leisure activities within easy reach, which residents can also enjoy. This elegant living experience echoes the core values of BOTANICA Luxury Villas; where design is...
King Window View
Flat for 151 200 euro in Phuket, Thailand
151 200 €
Flat in Phuket, Thailand
72 sq.m 3 2 2
Boutique Naiharn Sea condominium is located in a picturesque area near the snow-white Naiharn beach, surrounded by mountains. The Club Condominium consists of a 4 buildings (eight-storey building) with a total of 79 apartments in one building. On the territory of the house there are 4 swimming pools, gym, spa, mini market, restaurant, parking...
Leto Real Estate
Flat for 81 500 euro in Pattaya, Thailand
81 500 €
Flat in Pattaya, Thailand
68 sq.m 3 2 2
Siam Oriental Elegance is a condominium located in a prestigious area on Pratumnak hill, within walking distance from a clean and cozy beach. The complex consists of one 8-storey building with a swimming pool and sunbathing area on the roof. Within walking distance are mini markets, cafes, restaurants, markets, massage parlors. The apartment...
Leto Real Estate
Apartment for 924 932 euro in Phuket, Thailand
924 932 €
Apartment in Phuket, Thailand
292 sq.m 2 2
The new complex is located just 200 meters from the famous Bang Tao Beach, a 6-kilometer beach with white sand and dazzling sunsets over the tropical ocean. The project consists of single and double apartments ranging from 61.5 to 292.5 m2. All units have a living room, a master bedroom, a balcony and 1 or 2 bedrooms. The complex will be...
Indreams Phuket
Apartment for 175 675 euro in Thailand
175 675 €
Apartment in Thailand
106 sq.m 2 2
This is one of the most beautiful and representative residences on the island of Phuket. The apartments are located on the west coast of the island in the beach area Kamala, 15 minutes away from the famous Patong area. The apartments are perfectly suitable both for permanent residence and for a carefree holiday during your vacation. You will be...
Indreams Phuket
Apartment for 161 722 euro in Phuket, Thailand
161 722 €
Apartment in Phuket, Thailand
47 sq.m 2 2
A brand new project with magnificent architecture and interior near the waterfront and restaurants, in the heart of Rawai district.The construction of a new condominium on the seashore, next to the yacht club, is being launched. A complex that will fascinate with its view ..... sunsets ..... sunrises, yachts....⠀⠀⠀⠀⠀⠀⠀⠀⠀The pre-sale of a new...
Indreams Phuket

Source: Reuters

Photo by suzukii xingfu

Quoting conditions of Prian.info materials

Share the link:
Tags: Thailand, Loans, Real Estate

Read also

What Happenned? Top-5 News of the Week
News from Cyprus, Thailand, Estonia, Bulgaria, and Turkey.
How to Buy Real Estate in Thailand with Cryptocurrency
Talking about the outlooks of cryptocurrencies in real estate transactions.
Thailand Will Allow Foreigners to Own Land 
But only under special conditions.
Yet Another Village Offers 1-Euro Homes
This time, you can get a cheap house in the village of Bonnanaro in Sardinia, in the province of...
Canada Will Ban Foreigners From Buying Housing
The ban will be set for two years.
Italian Cities With the Best Quality of Life
The rating compilers assessed the cities according to 12 criteria, including rental rates and the...

News and articles on the topic «Thailand»:

Thailand Will Allow Foreigners to Own Land 
  • 12
But only under special conditions.
What Happenned? Top-5 News of the Week
  • 25
News from Cyprus, Thailand, Estonia, Bulgaria, and Turkey.