Frequently Asked Questions

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  3. Being a Guarantor
  4. Does being a guarantor affect your ability to get a mortgage?

Does being a guarantor affect your ability to get a mortgage?

It’s possible

  • Mortgage brokers and lenders could consider potential loan payment that you could be liable for as the loan backer.
  • The mortgage lender may need to be satisfied that you can afford the mortgage as well as these loan repayments.
  • There’s a possibility that this could reduce your affordability for a new mortgage and the amount you could borrow.

If you are considering a mortgage, we suggest you take professional independent financial advice prior to signing the guarantor agreement.

Apart from this, so long as you have a clean credit file, taking on this responsibility should not affect your mortgage eligibility.

 


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