SMC buying up housing loans
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Secondary Mortgage Corporation (SMC) plans to buy Bt50 billion worth of mortgages and housing-related instalment loans to back securitisation from now until 2015.
This is in support of the government’s policy to provide opportunities for lower-income people to own homes, SMC president Pornnipa Hachaiyaphum said after signing a memorandum of understanding at the Finance Ministry yesterday to buy housing loans from the National Housing Authority (NHA).
Currently, SMC manages secondary mortgages worth Bt2 billion, of which Bt300 million is issued as securities.
“After signing the MoU with the NHA, we plan to buy housing instalment loans worth Bt10 billion from now until next year that will be separated as securities worth between Bt3 billion and Bt4 billion each. We aim to boost our portfolio to Bt50 billion by 2015,” she said.
The SMC also is negotiating with banks to buy their mortgages. Some have already signed MoUs with SMC. Under the securitisation scheme, the NHA will pay interest between 2.99 and 5.99 per cent, NHA governor Vitoon Jiasakul said.
