Guarantor mortgages - any lenders?

SavingisFun

Is anybody aware any lenders offering a Guarantor mortgage in any shape or form?

Thanks in advance

pink_pirlie

My mom guaranteed my mortgage with nationwide back in 2010 so I could stay in my house when I split with my ex as my income fell slightly short of their required amount. I removed her after a year once my income had risen enough.

Couldn’t say if they are still doing it though.

We did have to put down a minimum deposit as a result of the guarantor. I think it was 15%.

kingstreet

Yes. There are.

This is now known as "joint borrower, sole proprietor."

An independent broker will be able to establish the options and do comparisons for you.

John-K_3

It!!!8217;s worrying that banks will lend in this way, we seem to have learned little from the last decade.

I wonder how long before there are posts on here from guarantors in tears at realising that they are expected to fulfill their obligations and that there was a very good reason why their child was not thought to be capable of paying back a mortgage in the traditional way.

pink_pirlie

John-K wrote: »

I wonder how long before there are posts on here from guarantors in tears at realising that they are expected to fulfill their obligations and that there was a very good reason why their child was not thought to be capable of paying back a mortgage in the traditional way.

I agree that in many instances it could well be unaffordable and irresponsible, but there are cases where helping a child into housing is beneficial and absolutely okay.

It is important for those guaranteeing to completely understand their responsibilities and have prepared for and be comfortable with the worst situation that could arise.

Thrugelmir

John-K wrote: »

It!!!8217;s worrying that banks will lend in this way, we seem to have learned little from the last decade.

Times have moved on considerably. Affordability criteria is applied whatever the nature of the product being applied for.

John-K_3

Thrugelmir wrote: »

Times have moved on considerably. Affordability criteria is applied whatever the nature of the product being applied for.

The fact that someone is accepted only with a guarantor suggests that these need looking at again then. A guarantor is pretty decent evidence that a bank is not comfortable that the borrower will be able to meet their obligations.