Mortgages and Finance for Foreign Buyers in Thailand

Checks, costs & money

Whether a foreigner can get a mortgage in Thailand, what Thai banks usually require, and the realistic alternatives: borrowing at home, developer payment plans, seller finance and cash.

By Samui Real Estate, Property ConsultantLast reviewed November 20264 min read

In most countries, buyers expect to take a mortgage. In Thailand, foreign buyers usually can’t, at least not easily. Understanding your realistic options early saves wasted time and helps you budget. This guide explains what Thai banks typically require, and the alternatives most international buyers on Koh Samui actually use. For the full buying process, see buying property in Koh Samui.

General information, not financial advice. Lending policies change and vary between banks. Speak to lenders and a financial adviser about your circumstances.

Can a foreigner get a mortgage from a Thai bank?

Sometimes, but it’s the exception. Thai banks that do lend to foreigners typically look for:

• A Thai work permit and income paid in Thailand, often for a minimum period.
• Residence in Thailand on a long-term visa.
• A freehold condo as security, rather than a leasehold villa.
• A larger deposit than Thai borrowers need, and shorter terms.
• Some banks lend to foreigners married to Thai nationals, or to Thai spouses directly.

Non-residents without Thai income will find very few options.

Mortgage costs in Thailand

• Mortgage registration at the Land Office: 1% of the loan, capped by law.
• Bank fees and valuation.
• Insurance the bank may require.

The alternatives most buyers use

Option	How it works	Pros	Cons
Cash	Pay from savings or investments	Simplest; strongest negotiating position	Ties up capital
Borrow at home	Remortgage or release equity on property you own at home	Familiar lenders; often better rates	Currency risk; your home is the security
Developer payment plan	Pay in stages during construction	No bank needed; spreads cost	Off-plan risk; balance due at completion
Developer finance	The developer lends part of the price after completion	Available to non-residents	Higher rates, short terms; check the contract carefully
Seller finance	The seller accepts payments over time	Can work on resale	Your rights must be properly secured and registered
International private bank	A bank lends against your wider wealth	For high-net-worth buyers	Strict criteria

Developer payment plans and finance

Many Samui developers sell off-plan with payments spread over construction, and some offer finance on the balance after completion. Check:

• the interest rate, term and total cost;
• what happens if you miss a payment: penalties, cancellation, loss of money paid;
• when ownership transfers to you, and how the developer’s security is registered; and
• whether you can pay off early without penalty.

See buying off-plan property.

Seller finance and rent-to-own

Some resale owners accept payment over time, or a rent-to-own arrangement. These can work, but they carry risk for both sides. Make sure:

• the agreement is drafted by your own lawyer;
• your rights are registered at the Land Office where possible, not just in a contract;
• the contract covers default, death and the property being sold to someone else.

Currency risk

If you borrow in pounds, dollars or euros to buy in baht, the exchange rate affects your real cost when you pay and when you sell. If you earn rental income in baht while repaying a loan in another currency, movements cut both ways. Factor this into your plans.

Frequently asked questions

General information only, not financial advice.