Understanding Property Financing Options in Phuket

Phuket is one of the most popular places in Thailand for foreigners to buy property — but financing options for non-Thais can be limited and complex. This guide explores how to finance a villa or condominium in Phuket, what’s realistically possible for foreigners, and how to structure your purchase wisely.

Whether you’re buying a luxury villa in Nai Harn or a condo in Laguna, understanding the financing landscape in Phuket is crucial.

Can Foreigners Get a Mortgage in Phuket?

Foreign buyers often ask if it’s possible to get a mortgage in Thailand — and the short answer is: Yes, but it’s difficult. A few Thai banks and some international banks may offer mortgage loans to non-residents, but there are strict conditions:

  • Loans must typically be in foreign currency

  • Applicants must meet income requirements and provide substantial documentation

  • Mortgages are usually offered on condominiums only, not land or villas

  • The loan-to-value (LTV) ratio is usually conservative — 50–70%

Which Thai Banks Offer Financing for Foreigners Buying Condominiums in Phuket?

Although financing options for foreigners in Thailand are limited, a small number of banks do offer mortgage loans specifically for Phuket foreign freehold condominium purchases. These are usually granted under strict terms, and only for condos that are registered under foreign freehold quota. Banks such as MBK Guarantee, UOB Thailand, and Bangkok Bank (Singapore branch) have been known to provide financing to foreigners in certain cases.

These institutions typically require the borrower to meet specific criteria, such as a high credit rating, proof of overseas income, and a substantial down payment (often 50% or more). Keep in mind that lending terms vary and often depend on whether the bank has a foreign lending program in place or not. It’s always best to speak with a local property expert or legal advisor in Phuket who can help navigate the process and liaise directly with these banks.

Note: these banks will ONLY offer loans for foreign freehold condominiums in Phuket. It’s not even worth trying to obtain a loan on a Phuket villa or a leasehold condominium.

Visit MBK Guarantee’s official mortgage loan page.

Learn more about UOB’s foreign buyer home loan options.

You can also contact Bangkok Bank who are known to provide condo loans for expats.

Alternative Financing Options in Phuket

Since mortgages for foreigners are rare, many buyers use alternative financing strategies, including:

1. Seller/Developer Financing

Some developers in Phuket offer in-house financing, especially for new or off-plan properties. These are typically short-term payment plans (1–5 years) and may come with slightly higher purchase prices.

2. Personal Loans or Equity Release

Foreign buyers may tap into home equity or personal credit facilities in their home country, then remit funds to Thailand via proper legal channels — ensuring an FETF form is issued if buying a condo.

3. Buy in a Thai Company Name

For certain property types (especially land and villas), some foreigners create a Thai company. While this is a legal gray area, it can allow more flexible purchase structures. It’s essential to seek professional legal advice and ensure the structure is structured correctly, fully legally compliant, is not using nominee shareholders and is adhering to all the corporate laws of Thailand.

4. Leasehold Options

Foreigners cannot own land directly, but can lease property for up to 30 years (with possible renewals). Leasehold structures often include purchase options, making them appealing for expats seeking more control or long-term residence.

Key Things to Know When Financing Property in Phuket

  • All property purchases must be funded from overseas in foreign currency if the buyer wants to hold a condo in their personal name. This requires proper documentation (like an FETF).

  • Title checks and due diligence are essential — whether you’re buying freehold or leasehold.

  • Legal representation is strongly advised to review contracts, check land title, and structure the purchase safely.

Cost of building your own villa in Phuket

Foreign Bank Loans 

If securing a mortgage in Phuket is challenging, consider approaching banks in your home country. Foreign banks may offer loans for purchasing properties abroad, and some provide more favorable rates and terms than Thai banks. 

Advantages of foreign bank loans: 

  • Familiar lending processes and requirements. 
  • Competitive rates and better repayment terms. 
  • Access to larger loan amounts. 

This option is particularly suitable for expatriates or investors with existing financial relationships in their home country. 

Realistic Advice for Foreign Buyers

If you’re hoping to buy a Phuket villa for sale or a condominium in a prime location like Kamala, Kata, Rawai or Surin, you’ll almost certainly need to bring funds from overseas.

Even if financing is available, it is not as flexible as in Western countries. That’s why many buyers plan their purchases with cash — or seek alternative routes like developer plans or private financing.

Buying with Confidence in Phuket

Work with a professional real estate agent and a reputable lawyer to guide your financing journey. Whether you’re investing in a rental property or buying a home to retire in paradise, knowing your options ensures you make an informed decision.

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By understanding the financing pathways available, conducting due diligence, and seeking expert guidance, you can secure the property of your dreams while navigating Phuket’s unique legal landscape with confidence. Thai Residential is here to help you every step of the way, providing expert advice and support to make your property investment a success. 

Ready to Turn Your Phuket Property Dream Into Reality?

Whether you’re looking to buy a luxury sea view villa, a modern condominium in a gated estate, or a long-term investment property in Phuket — understanding your financing options is the first step. At Thai Residential, we help foreign buyers navigate every part of the purchase process, from legal advice to securing developer financing and ensuring proper fund transfers for freehold ownership.

Let us help you find the right property — and the smartest way to pay for it.

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