BAY targets condo loans
Bank of Ayudhya is expanding further in the home loan market, penetrating the white-collar group with a special campaign featuring a 100-per-cent credit line with zero interest for as long as six months.
Wichit Phayuhanaveechai, executive vice president for home loan products, said that according to a study on the market direction and prevailing consumer behaviour related to home purchase, condominiums became very popular during the first half of this year. In response to the high market demand, condominiums accounted for 47 per cent of the new residential projects built in Bangkok and surrounding areas.
Among these 36,000 new units, those costing Bt1 million to Bt3 million have seen the highest growth and account for 62 per cent of the total market volume. This reflects demand from young workers.
“Factors influencing these buyers’ decision-making are convenient communication, for example closeness to rapid transit, including areas within the radius of the BTS and MRT extensions,” Wichit said. “Long repayment periods with monthly payments that are proportionate to their incomes are a major element in decision-making.”
Krungsri foresees an opportunity to serve the young working group, who choose home-loan services based on credit lines, monthly payment amounts, interest rates and other fees, as well as the time and procedures involved in credit approvals, he said.
The bank has developed and extended its loans for condominiums, following up on its success in this area in the first half of the year. Under this new campaign, the bank has developed special offers including a 100-per-cent credit line with zero interest for six months, among other features.
