Guarantor with halifax

dandowding

I've just been turned down on my mortgage offer by the halifax, as I have to go self cert as I'm self employed .....yadda yadda yadda ...gits !!!

Am now looking at getting parents to go guarantor. I heard thru the grapevine that it can be done in a way that they only have to guarantor the remainder of what my girlfriends wage cannot cover. Is this correct? or do they have to be able to cover the whole amount ?? can find any info on this on google.

_Andy_

Why did you apply to Halifax if you wanted a self-cert mortgage?

CLAPTON

the guarantor will be responsible for paying the entire amount if you/OH default... so it's potentialy a vey heavy responsibility.. make sure they can afford it if the worst should happen (you split up/unemployed etc etc )

opinions4u

Guarantor is liable personally for the WHOLE debt, whoever the lender is.

The lender will also assess the guarantor's ability to service that debt. This may not be so easy if the term goes beyond a planned retirement age, or if they have their own mortgage (or other commitments) to service.

Tiddler_2

Halifax will look at guarantors, but only in exceptional circumstances. They would want to see that your circumstances (income-wise) are going to change in the next 2/3 years. They don't see guarantors as a long term strategy for keeping the mortgage.

They would usually accept a guarantor for someone who is just starting out in a professional career - accountant/doctor/teacher etc - where there will be an increase in income over the first 2/3 years that would mean you are in a position to support the mortgage yourself.

If it is just that you are self-employed and your tax returns don't show a large enough income, then my experience would say they are unlikely to approve a guarantor mortgage.

Other lenders will look at guarantor mortgages and will just want the difference covering, some will look at adding the parent to the mortgage (Abbey - Bristol & West/Bank of Ireland under their First Start scheme)