For people who are looking to buy a house in 2023 or 2024, but do not qualify for a mortgage, then look no further because a guarantor mortgage is your answer. A guarantor mortgage has been designed for clients whose income is not high enough to qualify for a mortgage on their own. The guarantor is there to provide a guarantee that they will repay the borrowed amount if the borrower does not repay their agreed payments. So, if you are in this position and looking for a guarantor mortgage, but do not know where to begin, then look no further as we have put together this comprehensive guide to help.
Guarantor mortgages essentially allow you to borrow cash which you would not have otherwise been given. It gives lenders the confidence that they will receive what they are owed and reduces their risk in lending. Even though the named borrower will be the owner of the property, the guarantor is the person who is legally responsible for the debt.
A guarantor mortgage may be a good option for people in several circumstances. For example, if you earn a low income, having a guarantor could be one way to get a bigger loan. Another scenario could be if you have little to no deposit. Perhaps you have a bad credit score, or maybe you just have little to no credit history.
To find out how we here at Eminence Mortgages could help and advise you, do get in touch with us as we have a friendly team here for all your needs.