If you are thinking about buying a house, the first question that pops into your head is, "How much will I have to pay each month?" This question is more important than many realize because a home mortgage isn't just about this month or this year—it is a commitment you will carry for the next 20–30 years.
Recently, in 2025, the University of the Thai Chamber of Commerce (UTCC) revealed a survey finding that Thai households have an average total monthly debt repayment rate of 22,022 THB. Housing debt is considered one of the largest debt portfolios, second only to credit card debt. Let’s look at what you need to know if you are planning to take out a mortgage in 2026.
Real Numbers — How much do Thais pay on average for their mortgages?
According to the 2025 Thai Household Debt Status Survey by the Center for Economic and Business Forecasting, University of the Thai Chamber of Commerce, here are the key findings:
Key Figures:
Average Thai household debt: 740,597 THB per household (the highest in 4 years, an increase of 22.1% from the previous year).
Total monthly debt repayment rate for all types: 22,022 THB per month.
95.1% of households have debt; only 4.9% are debt-free.
Housing debt is the second-largest debt category, trailing only credit card debt.
Breakdown of borrowers by monthly payment (all debt types):
Payments not exceeding 5,000 THB/month — 38.91%
Payments not exceeding 10,000 THB/month — 34.59%
Payments between 10,000–30,000 THB/month — 19.29%
Note: The figures above represent total debt burden across all categories, not just housing. Those who have a primary home loan usually pay between 8,000–25,000 THB per month, depending on the loan amount and term.
How much is a monthly mortgage? Calculating based on actual home prices
Monthly installments depend on three main factors: the loan amount, the interest rate, and the loan term.
Calculation Example (Average interest for the first 3 years ~3.5% per annum, 30-year term):
Home Price (Loan Amount) | Estimated Monthly Payment |
|---|---|
1,500,000 THB | ~6,750 THB |
2,000,000 THB | ~8,980 THB |
3,000,000 THB | ~13,500 THB |
5,000,000 THB | ~22,500 THB |
8,000,000 THB | ~35,940 THB |
Krungthai Bank states that for the first 3 years, borrowers can opt for a low payment rate of 3,300 THB per million per month, meaning a 3-million-THB house would cost only about 9,900 THB/month during the 3-year promotional period.
What are the home mortgage interest rates in 2026?
In 2026, mortgage interest rates remain at an attractive level.
Average interest for the first 3 years (Lowest by bank, as of March 2026):
Bank | Average Interest (First 3 Years) |
|---|---|
Siam Commercial Bank (SCB) | ~2.75% per year (lowest) |
Bank of Ayudhya (Krungsri) | Fixed 1.99% for the first year |
Government Housing Bank (GHB) | ~2.40% 1st year / 3.40% 2nd year |
Kasikornbank | Lowest 1.80% 1st year |
Krungthai Bank | 3,300 THB/month per million (first 3 years) |
Current MRR Rate (Base interest rate after the promotion ends):
Most commercial banks are at MRR 6.045%–6.545% per year.
After the initial 3-year promotion, interest rates will adjust to MRR minus a discount, causing monthly payments to increase.
Tip: 2025–2026 is still a good opportunity for those wanting to own a home, as banks continue to compete with special interest rate promotions for the first 3 years.
How much can you borrow? Basic calculation formula
Most banks use the DSR (Debt Service Ratio) principle to evaluate loans, which states that total debt obligations should not exceed 40–50% of your monthly income.
Example of loan limit based on income (30-year term, average 5% interest):
Monthly Income | Estimated Max Loan Amount | Monthly Payment |
|---|---|---|
20,000 THB | ~1,200,000–1,500,000 THB | ~8,000–10,000 THB |
35,000 THB | ~2,000,000–2,500,000 THB | ~13,000–16,000 THB |
50,000 THB | ~3,000,000–3,500,000 THB | ~18,000–21,000 THB |
80,000 THB | ~4,500,000–5,000,000 THB | ~27,000–30,000 THB |
The figures above are only basic estimates. Banks will consider actual income, other debt burdens, credit history, and the collateral value altogether.
Overview of Thai Household Debt, 2026
The Thai household debt situation in 2026 remains concerning.
Percentage of the population with debt: 62.44% (increased from 50.99% in 2025).
Household debt to GDP: Around 89% (Q3/2024).
Housing Loan NPLs: Continuing to rise. By Q1/2025, total outstanding NPLs reached 548.1 billion THB.
Informal debt: Increased to 35% of total debt due to stricter bank lending criteria.
The main reasons for the increase in Thai debt include higher costs of living, income not keeping up with expenses, and the purchase of assets like homes and vehicles.
5 Tips for choosing a home loan in 2026 to get low interest and stay within budget
1. Compare the "average interest over the entire contract" rather than just the first year. The first-year interest rate may look very low, but after the 3-year promotion expires, interest will revert to MRR, which could be 6% or higher. Look at the Effective Interest Rate (EIR) over the full term.
2. Debt burden should not exceed 40% of income. If your income is 30,000 THB, your total home loan and other debts combined should not exceed 12,000 THB per month to leave room for emergency expenses.
3. Choose a loan term suitable for your age. The formula is: Age + Loan Term should not exceed 65 years (for private sector employees) or 70 years (for special professions). The longer the term, the lower the installment, but the higher the accumulated interest.
4. Use the government's 100% LTV measure. The Bank of Thailand has relaxed LTV measures, allowing loans of up to 100% of the appraised value for contracts signed between May 1, 2025 – June 30, 2026. No down payment required.
5. Refinance every 3 years to get a new promotional interest rate. Once the 3 years are up, compare interest rates from other banks and consider refinancing, as promotional rates are usually much lower than standard floating rates.
Conclusion
In summary: Thais typically pay about 8,000–22,000 THB per month for their mortgages, depending on the loan amount and income. In 2026, interest rates for the first 3 years at many banks remain low at 1.99%–3.20%, which is a good opportunity for those who are ready.
However, before deciding to borrow, the most important thing is to honestly assess your own repayment capacity. The best house is the one you can afford comfortably, not the most expensive one the bank approves you for.
