[fleaz]

Originally Posted by TomMAffolter

I agree with you that in PRINCIPLE this is a good idea, but look at what happened in Chicago, banks lend out money on property valued at for example 200k give 180k loan, now the borrower defaults, banks repossess. Great right like you describe, but problem now is market drops and now the property only worth 100k. So in this case now the property vacant, the bank has lost 80k, the borrower also lose out. This is even without thinking about the legal and administrative costs of "eating the land". Just walk up with the contract say sorry buddy but you cannot pay so now please leave?

Just like I give you simple idea, go some country like say Japan, with low interest loans eg 2% borrow 10mill usd, then come to say Vietnam where interest on deposits is 8%. Bingo gain 6% on 10mill = 600k usd. So easy right? Now look at the actual details, you got connections get 10mill loan, bring money vn pay taxes. What about currency fluctuations, what if Vn bank default.
Im not rubbish your idea, I'm just saying the details and process how to achieve idea is even more important. Im sure many people have idea of smart phone, but there is only one Iphone.

sorry my englang not good so im not that clear in explaining. this is not an idea, this is already a practice long time in thailand. no bank involve, only pay the bank to evaluate the land value. person A use land as deposit to borrow money from person B, land deed will be changed to person B name legally until loan is repay. thats should be it in general terms. but u guys can as in details your thai wife or friend about 'kai fark tee din char note' there are some law regulating this private loan