Call us now 1300-889-743

Guarantor Loan Calculator

Guarantor Loan Calculator

Your purchase details

Your purchase

Purchase price?
Loan amount?

Your guarantors

Your Guarantor
Property value?
Home loan?

Loan details

Which property is the Guarantor using as security? ?
Is the Guarantor still working? ?
Do you have 5% in genuine savings? ?
Is your loan a construction loan? ?

Contact a mortgage broker

Talk to one of our mortgage brokers about your situation: Yes  No 

Tips for your situation

Enquire Online Re-Calculate

How does this calculator work?

This calculator is designed to help you work out the size of the limited guarantee and also to work out if you are likely to have trouble obtaining approval with some lenders.

Unlike with a standard home loan, the banks all have very different policies for guarantor loans. As a result many people approach their bank, only to be declined because of a lending guideline that doesn’t even make any sense!

This is why it is important to find out how the banks will view your application. Applying with the right lender first time around prevents you from damaging your credit score by having too many unnecessary enquiries on your credit file.

Learn more about guarantor loans

We have written a comprehensive guide to guarantor loans which explains everything from the types of guarantor loans available, to limiting the size of the guarantee and even how to borrow more than 100% of the purchase price!

We can help!

While most bank managers and mortgage brokers have only approved a few guarantor loans in their entire career, we deal with them everyday! We know exactly which lender can help, how to get your loan approved and most importantly how to setup the loan to maximise the protection for the person who is guaranteeing your loan.

If you would like to speak to a mortgage broker who can help please call 1300 889 743 or enquire online and one of our specialist brokers will contact you to discuss your situation.

  • Monica Rutner

    Hi, I recently got PR, now I want to buy a house of my own. However, I don’t have sufficient savings of my own, and one of my friend has suggested me to try with a guarantor, and he’s even agreed to give me a guarantee.

    Will a friend as a guarantor work to obtain a home loan? Hope to have some valuable insights from you guys.

  • Hi Monica,

    Most lenders will only accept a parent as a guarantor. Some of our lenders can consider other relationships such as grandparents, siblings, extended family (aunt / uncle / cousin) and friends. Where the guarantor is not a family member the lender will do additional verification and check but it is usually not a problem.

  • jimbob

    I wanted to confirm under a guarantor arrangement whether the “Total debt secured on guarantor’s property” is the limit of liability the guarantor has on the transaction? Also at what point does this liability reach $0?

  • Hi Jim

    The total debt secured on the guarantors property is their current loan + the size of the guarantee they are providing for your home loan. If they have no debt on their property then this is just the limited guarantee they are providing for your loan.

    You need to apply to remove the guarantee, it doesn’t come off automatically. Most people do this once they owe below 80% of the property value as it avoids lenders mortgage insurance

  • jimbob


  • Dodgshun

    My bank told me that they would like to see me to have 5% in genuine savings but I don’t have any, which is exactly why I’m going guarantor in the first place. Isn’t genuine savings unnecessary when we have a guarantor?

  • Hey Dodgshun,

    Yes, genuine savings is not required in most cases, however, this isn’t set in stone so despite having a guarantor, some lenders still require you to have saved 5% of the purchase price. You can speak with one of our mortgage brokers on 1300 889 743 if you’d like help in finding a lender that can accept your loan application without any genuine savings.

  • Dodgshun

    Yes, I’d very much like that. Will be calling soon. Thanks.

  • Gina

    Hi, we want to refinance our own house to buy a block of land + the stamp duty and other fees, but the current value of our property is not enough to cover it all. If we use a guarantor would it help to increase our loan amount? thanks

  • Hi Gina,
    Yes that will work. There’s some complications with a guarantor loan that is used to build a house but as long as we set it up the right way then it is fine. If you like fill in this and a guarantor loan expert will give you a call to discuss.

  • Sam Finlayson

    I would like to purchase my 1st property. My parents have a large transport business but no property. Are we able to use the businesses assets for a guarantor loan?

  • Hi Sam,
    You’ve got two options with this. They can put up a term deposit (cash) as security for the loan
    The other option is that they get a small business loan and lend this to you as a deposit. Their business banker can do that or they can call us.
    Or maybe another relative owns property and is willing to be a guarantor?

  • Sam G


    I am looking to purchase my first property early next year. My parents have agreed to guarantee the loan, once they refinance. They would be using their home property and they do still work (they are both under 50).

    I am looking at modest properties around $150k and have just recently started a term deposit with the required 5% locked in for next 3 months. However I also have a Personal Loan with a balance of $11000 that was taken out in May 2016 (increased from prior Personal Loan).

    My question is: Will lenders make the assumption that the savings were not genuine, and were the result of the Personal Loan? The saved payments do generally increase sporadically and I would say that they did not actually come from the Personal Loan (which was used to pay off credit cards and holiday). Or because the savings are in a term deposit, the savings pattern does not matter?

    Is it better to put my 5% savings into the personal loan, reducing the balance, and starting my savings process again? I am worried that lenders will not consider my savings genuine and would prefer to have a “game plan” before I actually make the move to apply…

  • Hi Sam
    Yes many lenders will think the 5% gen savings is actually from the personal loan. Others will be ok with this. The good news is that some of our guarantor loan lenders don’t require genuine savings anyway.

    It’s best we assess your needs at the time you buy and work out if it’s best for you to use your savings to pay out your personal loan or not. Likely the best course of action is apply while your savings are in the term deposit and then after approval pay out part of your personal loan.

  • Althea Gwebraedd

    Little confused about how the loaning works for guarantor. Just as an example, if the amount I wished to borrow was $500,000 and $100,000 was secured against the guarantor property, would the repayments be on the full $500,000 loan, or the $400,000? Would the guarantor’s repayments on their own loan be affected in any way by becoming a guarantor?

  • Hi Althea,
    You would make payments on the full $500,000. The guarantor would only be asked to make payments if you were unable to make payments.
    The guarantor’s existing home loan payments would remain the same.
    If you’d like our help then please contact us

  • Carolyn Denton

    My parents are already guarantors on my investment property loan (for 130k). Their property is worth about 600k with no mortgage. Can they also guarantee another mortgage for me as an owner/occupier?

  • Hi Carolyn
    Potentially yes this is possible. It would depend on a variety of factors so it’s best to discuss this in detail with one of our mortgage brokers. We’ve done similar loans before.

  • Joanne Paroci

    Hi again
    Are you able to give me details on any broker residing in sydney south west whom are ready and willing to help us immediately?

    We’ve been getting assistance off one of your brokers but its just delaying.


  • Hi Joanne please call us on 1300889743 and ask for Maria and she’ll sort this out for you.

  • Jessie Lou Louis

    Hello we are wanting to purchase a home for $160, 000 and are wanting to ask our parents to be guarentee for us. How much must there house be worth to be accepted?? We have a few option but one if the houses is only worth $150,000 will read work as its only $40,000 that will be held on there end for the 5 yr term I believe

  • Maurinus Stander

    Hi, My partner and I want to buy a little block of land soon for about $400 000 and then build a little container home on it for less than $100 000, we both have a full time job and earn about $100 000 a year before tax together.
    What would be the best way for us to take out a loan? My parents are in the middle of paying of their house and have a very decent income, we have no dept at all, what should we do?

  • Hi Maurinus,
    You can get a guarantor loan for both the land and construction. Note that some container homes aren’t acceptable to banks so you may need to discuss this with our broker or consider building a different type of house. Many customers end up just buying an existing home because it’s much easier.