GHB sets aside 10 billion baht housing loan for low income-earners

The Government Housing Bank has set aside a 10 billion baht budget for housing loan to be granted to low income-earners to buy houses, starting this month.

GHB managing director Chatchai Sirilai said Tuesday that those eligible to apply for housing loan must have net income of between 20,000-25,000 baht per month or have a combined income before deduction of expenses amounting at least 45,000 baht if two applicants are to apply for a loan.

The maximum amount of each loan is two million baht and will carry a fixed interest rate of 2 percent for the first three years which is lower than the 3.4 percent charged by other banks.

Mr Chatchai noted that it was not necessary that the borrowers would spend the loan to purchase their first house.

He said that this housing loan was intended to help the low income-earners so they could afford to buy a house and that the bank did not expect to gain much profit or loss.

Earlier, the GHB and the Ministry of Social Development and Human Security jointly held an opinion survey to gauge public needs for housing.

Mr Chatchai said information gleaned from the survey would be used by the bank to plan its housing policy in correspondence with public needs.