Guarantor Mortgage

Firsttimebuyeremma

I would really like some advice. I am currently trying to buy a house on my own. I am studying to become a teacher, so for this year i will only have a bursary to live on. I do have some savings however, enough to put down a deposit and help get me through the next year.

i have read about the mortgage with gaurantor, which sounds like my only option at the moment, and my father is willing to help me with this.

My question is, where do I start??? I am still waiting for the Co op to call me back after 2 weeks. Can I get a 100% mortgage and keep my deposit?? or, because my father is involved, do I not pass as a first time buyer.

Please, can anyone help???

I could really do with any advice

mightymouse

Hi

You need to talk to an independent mortgage adviser who might be able to put together a mortgage for you with you dad involved.

AndrewSmith

There are many lenders who will offer 100% guarantor mortgages.

There are criteria that the guarantor has to meet though, such as minimum income level etc, also their mortgage will be taken into account when calculating the allowable borrowing.

Also your guarantor will need to appoint their own solicitor independant of the one used for the purchase.

Sounds complicated but it is actually quite straight forward if done correctly.

Andy

englishdesi

I completed yesterday and the mortgage I got was a 'guarantor mortgage'.

It's the Bank of Ireland's First Start Mortgage, Bristol & West do the same one as well, what it is is essentially a 100% mortgage working on the joint income multipless of yourself and your parent, it's structured in such a way that whilst the mortgage is in both your names, the deeds of the property do not thus overcoming the problem of CGT when you come to sell the property.

Loads of Lenders do these kind of mortgages, but the problem is others will insist the guarantor is on the property deeds which leaves you open to all sorts of tax issues etc.

If you need any more info or help about this, drop me a message and I can put you in touch with the right people

Englishdesi

Firsttimebuyeremma

Hi

Congrats!
Sounds like the kind of thing I am after. Could you give me the details?

herbiesjp

This link might help:

http://www.bim-online.com/pdf/20050802_New%20Customer%20rates%20grid%20V2.pdf

MortgageMamma

Take professional advice. there are several organisations offering first start mortgages and guarantor mortgages - make sure you get the right one for you first time around.