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Using a Guarantor to Purchase a Home

If you’re looking to get into the market but struggling to save the full 20% deposit, you can ask someone to be a guarantor on your home loan. A guarantor is a third party, typically a parent who agrees to repay a loan if you can’t; this includes any additional fees, charges and interest. Offering additional security as support, a guarantor makes it more accessible for first home buyers to take their first step on the property ladder. However, using a guarantor to purchase a home does not come without risks. Let’s have a closer look at some of the … Read more

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