1. Poor credit history (bad financial record)

Banks will check your debt repayment history from the Credit Bureau. If they find that:

• You have a history of defaulting on payments.
• You have been sued for debt.

It's no surprise that the bank will see you as "high risk!" This can lead to the bank reducing the loan amount or even rejecting the loan application altogether.

Proview Tips: To have good credit, you need to repay your debts on time for at least 6 months. Also, check your credit bureau report yourself to see your status before applying, so your application won't be rejected!

2. Insufficient income

Salaried employees need to understand that banks primarily look at income. They calculate your ability to repay based on your monthly income. Generally, your total debt burden should not exceed 40-50% of your income. How much you can borrow depends on your salary!

For example: With an income of 30,000 baht/month, the bank will approve a loan where the monthly installment does not exceed 12,000 - 15,000 baht/month. If the house you choose requires a monthly payment of 20,000 baht, your loan amount will be reduced.

Proview Tips: If your income is too low, try to supplement your income with extra work, find a co-borrower, or pay off small debts before applying for a loan to appear more creditworthy!

3. High existing debt burden

If you have multiple credit cards, car loans, or other loans with high outstanding balances! Banks will count all of them! The more debt you have, the smaller your loan amount will be!

Proview Tips: Reduce your credit card debt to below 30% of your credit limit before applying for a loan. This will show banks a good profile that you are not a high-risk individual!

4. Unstable income or changing jobs before applying for a loan

If you've recently changed jobs or work as a freelancer, the bank will think... hmm, your income isn't stable yet!

Proview Tips: Stay in your current job for more than 6 months and have pay slips to show. That will make it easier to get approved!

5. Property appraisal value lower than the actual sale price

Oh no! Even if the house has a sale price of 3 million baht, the bank might appraise its value at only 2.5 million baht, meaning you'll receive a loan amount based on the appraised value, not the sale price... leading to not getting the amount you hoped for when applying for the loan!

Proview Tips: Don't forget to check the approximate appraisal price with the bank before buying a house, and choose a house in a project or one that the bank appraises at market value. Or get help from a Buyer Agent to avoid disappointment!

6. Too little down payment

You want a higher loan amount... but you've put down too little as a down payment, for example, less than 10% of the house price. The bank will see this as high risk, and may approve a smaller loan amount. Even if you ask for more, they will reduce it anyway!

Proview Tips: Make a down payment of 20% of the house price to help reduce risk and increase your chances of receiving a higher loan amount.

7. Choosing a house beyond your affordability

If the house price exceeds your borrowing capacity, the bank will reduce the loan amount to match your repayment potential.

For example: An income of 30,000 baht might allow for a loan of approximately 3 million baht, but you choose a house priced at 5 million baht. You might have to pay a higher down payment.

Proview Tips: Choose a house with a price that aligns with your income, for instance, the house price should not exceed 30-40 times your monthly income.

8. The borrower's age affects the loan amount

The bank will consider the borrower's age and the repayment period. If the borrower is older, the bank will shorten the repayment period, for example, to 10-15 years, which reduces the loan amount.

Proview Tips: Try to apply for a joint loan with a younger person, such as a spouse or family member. However, if you are still young, it is recommended to apply for the loan sooner to get a longer repayment period.