- Key issue:
- Parental guarantees
- Case study:
- Income Limits
- Date:
- 2004-01-11
- Mortgage amount:
- Various
Outcome
Lenders setting higher income limits for guarantors
Detail
Minimum income of parent for most lenders is 40k and rising.Lenders in general are comfortable with parental guarantees where if serves to add to a small increase in borrowing capacity where in the future it is reasonable to forsee borrowers income increasing to comfortably accomadate any repayment shortfall.It is only envisaged as a last resort that parental assistance would be required.
