
Guarantor mortgage – more detailed question?
My boyfriend is guarantor for his daughter’s mortgage. Ex-wife is also on this – he does not pay any money towards this – although he did have to sign legal docs. As before, does this affect future mortgage borrowings? We both have flats so if we sold both in the future, would this affect how much we could borrow for a mortgage – Scottish Law would apply
Unfortunately nearly all UK lenders WILL take the ‘guarantee’. mortgage into account when assessing your boyfiend’s own borrowing capacity. He is legally liable for repayments if daughter defaults.Therefore will not be able to borrow as much. However he could apply to be released as guarantor if daughters income has increased considerably since taking on the mortgage. I don’t think Scottish property law makes any difference.
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