I'm a rent guarantor, will that ruin my chances of getting a mortgage??

HappyMJ

mrginge wrote: »

No you cant

I used the words could and may...what else do you want. You can ask to be released from the guarantor agreement and the landlord may decide to end the tenancy agreement or may release the guarantor from the obligation. You can always ask.

You must wait until the fixed term is over though....

Amie0511

The fixed term isn't going to be over until after we apply for the mortgage. Ideally I wouldn't want to withdraw from being guarantor if it meant them being evicted,...but as there's not a lot I can do anyway I just have to hope it doesn't matter...what will be will be but I just wanted to put my mind at rest and stop worrying about it

mrginge

HappyMJ wrote: »

I used the words could and may...what else do you want. You can ask to be released from the guarantor agreement and the landlord may decide to end the tenancy agreement or may release the guarantor from the obligation. You can always ask.

You must wait until the fixed term is over though....

Asking to be released is very different from having a right to be released, which is what anyone reading this might think -

HappyMJ wrote: »

You can stop being a guarantor for them once the fixed term is over.

Or this -

HappyMJ wrote: »

You can write to the landlord and opt out of the agreement.

silvercar

mrginge wrote: »

would you apply that same logic to a lender's approach to credit card debt?

Yes and no. I would expect people to prioritise their mortgage over credit card debt. But in assessing mortgage affordability I would think
people who live on credit continue to do so, so it's an assessment of future likely spend.

HappyMJ

mrginge wrote: »

Asking to be released is very different from having a right to be released, which is what anyone reading this might think -

You can be released from the guarantor agreement...it might be the landlord terminates the tenancy and when tenant vacates the property the guarantor agreement ends or the landlord simply agrees for the guarantor to be released. It's not going to hold up very well in court if the landlord continues to accept rent from the tenant and a few years down the line tries to take the guarantor to court when the guarantor expressed an interest in revoking/ending the agreement and the landlord did not take steps to end the tenancy agreement at that time.

This is a term in a guarantor agreement...

--- If the tenancy is periodic or has become periodic by agreement or the operation of law, then this guarantee
may be terminated by written notice by the Guarantor subject to the Tenant vacating at the earliest legally
permissible date required for possession. If the Tenant fails to vacate on this earliest date then the guarantee
shall continue until the Tenant vacates.

What if the tenant doesn't vacate or get another guarantor after getting a Section 21 and is still paying rent on time each month? The landlord should be taking steps to get possession. They can't just let things go on. Legally they can...but try saying that in court a few years later and it just might not work.

Of course this doesn't matter the OP's tenants are still in the fixed term and the OP cannot in any way get out of guaranteeing the rent for the fixed term.

mrginge

Sorry but the above is really not helpful.

The guarantor is released from their obligations by -
An explicit clause within the contract (e.g a fixed term or specific exit clause).
Or -
The termination of the contract.

In the absence of the first (which would apply to many such agreements), then the second option would only be applied through the tenant vacating or the LL going through court. The guarantor has no involvement or rights with regard to those two actions.

The landlord has no obligation to seek possession, the tenant has no obligation to leave.