Guarantor Mortgages...

A guarantor mortgage is a way of helping someone to get a mortgage when on their own they would struggle.

Typically these are good for graduates or those who are just starting their career and so don't have enough income or the work history to get the mortgage on their own back.

Here the guarantor - typically a parent or guardian - offers to make good on the mortgage should the mortgage holder fail... so this is quite a big undertaking actually as the guarantor will have to be financially liable for the debt should something go wrong, hence it is not something to be taken lightly.

Re : Guarantor Mortgages

Guarantor mortgages are great for the person who persuades someone to act as guarantor but not great for the person that acts as the guarantor.

I doubt that you would ever get anyone to go as a guarantor apart from a parent who is doing it basically out of charity to help their child.

Let's just hope the degree in media studies or whatever these kids do these days leads to a well enough paying job that they can pay off the mortgage without bankrupting their parents in the process faced with the prospect of having to pay it back if they get made redundant or similar