Thailand approves property stimulus measures

Illustrative image (Source: thaivisa.com)

Thailand’s cabinet approved a series of policies to stimulate real estate growth, including reducing transfer and mortgage fees, and cutting taxes on October 13.

The Thai Finance Ministry’s proposal includes reducing transfer and mortgage fees from 2 and 1 percent, respectively, to 0.01 percent for six months.

Additionally, those buying houses that cost less than 3 million THB (about 84,300 USD) could use 20 percent of the houses’ value as a deduction from their personal taxes over five years.

The terms will be effective from December 31, with an aim to support low-income earners.

The Thai Housing Bank was also asked to disburse a mortgage loan worth 10 billion THB (281 million USD) by December next year.

The cabinet also reduced personal taxes to 20 percent and exempted 10 years of taxes to funds that provide loans to small- and medium-sized enterprises.-VNA