guarantor loan with deposit
guarantor loan with deposit
my brother has offered to be a guarantor for me and my partner to buy our first home in WA. we rent out our house in UK on interest only mortgage and have around $100,000 in equity but do not want to sell it. we will also have $25,000 deposit to put down. we earn aound $145,000 between us gross. we know that if we have a small depsit we will have to have lenders insurance but would like to know if anyone knows if we can borrow more with the $25,000 deposit and have my brother guarantee some of the loan? we have been told by our bank that we can borrow $475,000 with our $25,000 deposit.
- Otto Dargan
- Mortgage Specialist
- Posts: 7730
- Joined: Sat Sep 06, 2008 5:55 pm
- Location: Sydney, Australia
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Re: guarantor loan with deposit
Hi Mel,
It is possible that you could borrow more with the guarantee as the size of your deposit is likely to be the limiting factor. With a guarantee the size of your deposit is less important.
The best way to structure the loan will depend on your brother's situation.
Are you a permanent resident / citizen?
It is possible that you could borrow more with the guarantee as the size of your deposit is likely to be the limiting factor. With a guarantee the size of your deposit is less important.
The best way to structure the loan will depend on your brother's situation.
Are you a permanent resident / citizen?