The Government Housing Bank is now ready to introduce low interest home loans for civil servants in the country.
Accordingly to Mr Wisut Sri-Suphan, the deputy fnance minister, the GHB will be introducing new low interest home loans for civil servants under the ‘Homes for Civil Servants’ campaign.
A budget of 30 billion baht has been set aside for the purpose of helping low earning civil servants and state enterprise employees to buy homes.
The most vital criteria that has been specified for approval of loan applicants is that they must have, at minimum, sufficient means to make the monthly installment payments which means that they must have at least 11,000 baht of their income left after deducting all expenses.
Under this campaign, the interest rates that will be charged will be lower than market rates.
Interest rates for the first 1 – 4 years will be at minus 3.5% MRR (minimum retail rate) or 3.25% per year for a maximum of 30 years.
Applications can be made now until December 30 of this year.
Loans will be provided for the purpose of buying, building, expansion, repairs, mortgage repayment or purchasing land or non-performing assets (NPA) seized by the Government Housing Bank.
These loans will also cover refinancing and the purchase of equipment or tools to be used for home construction or repairs.
