Some mortgage lenders will accept a guarantor. This can help first-time buyers qualify for a bigger loan they would otherwise be approved for.
If a parent or close family member is willing to be a guarantor it may be possible to borrow a larger amount. Lenders will take the guarantors situation into account as well when making their decision.
If you are interested in talking to a mortgage adviser about a guarantor mortgage or you wish to know how much you could borrow, click on the enquiry link below.
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Some lenders will only agree to guarantor mortgages for young professionals. This is because they expect them to have quicker and bigger salary increases than most people.
Guarantors should get independent legal and financial advice before signing because they can only be released from their responsibility when the owner is in a position to cover the entire mortgage, or if the loan is redeemed. Parents must be careful to ensure they are not risking the roof over their own heads in order to provide their children with somewhere to live.