What is a guarantor mortgage?

Find out how you could get on to the property ladder with a guarantor mortgage. With guarantor mortgages, a parent or close family member guarantees the mortgage debt. This means that if the first-time buyer misses their mortgage repayments, the guarantor will have to cover them. Traditionally with this type of mortgage choice, parents were responsible for repaying the whole loan if their child defaulted on their mortgage payments. There are, however, increasing numbers of mortgages on the market that place limits on the amount the guarantor is responsible for. These mortgages come with risks for both the parent and the buyer, so it’s important to consider very carefully whether they are the right option for you For more expert advice on guarantor mortgages, family offset mortgages and family deposit mortgages visit https://ift.tt/2we2UIA. It’s a good idea to seek professional advice if you are thinking about going down this route. You can talk through the pros and cons with an expert using Which? Mortgage Advisers. Call 0800 2942 849 for a free chat. Which?: http://www.which.co.uk Twitter: https://twitter.com/whichuk Facebook: https://ift.tt/1fAOmna