Thank you for reaching out to us and welcome to the forums.
Having a guarantor is a great way to get a home loan if you do not have a big enough deposit.
Most banks and lenders allow your parents, spouse or de facto partner to be guarantors. Some lenders even make exceptions for siblings and grandparents. Depending on your relationship, even your aunt or cousin could act as guarantors.
However, most banks and lenders do not allow friends (unless they have term deposit to use as security), work colleagues, associates, former de facto partners or spouses to be guarantors.
The guarantor must:
- Be above 18 years of age.
- Be an Australian or New Zealand citizen (some lenders accept guarantors that are living or working overseas)
- Be of sound mind and they need to seek legal and financial advice before becoming your guarantor.
- Be currently working, however, exceptions can be made for self-funded retirees or on pension as long as they obtain legal advice prior to signing the loan offer).
Give us a call on 1300 889 743 or fill in our free assessment form to find out if you qualify for a guarantor home loan.
Cheers,