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Family Support That Opens Doors

Saving a 20% deposit in today's market is a huge challenge. A guarantor loan (or family pledge) is a powerful way for family to help you buy sooner, without needing a large cash gift. It allows a close family member (usually a parent) to use the equity in their own property as additional security for your loan. This can help you avoid LMI and even borrow up to 105% of the purchase price to cover costs like stamp duty.

How It Works

  1. The Guarantee: A parent (or relative) offers part of their home equity as security for your loan.
  2. Limited & Secure: The guarantee is typically "limited" to a specific amount (e.g., 20% of your purchase) rather than the entire loan, protecting your guarantor.
  3. No LMI: Because the lender holds this extra security, you avoid paying Lenders Mortgage Insurance (LMI).
  4. Release the Guarantee: Once you've paid down your loan or your property value has increased (usually to 80% LVR), we can apply to release the guarantee, removing your family's property from the loan.

Who It Suits

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First Home Buyers
with a small deposit but a solid income.
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Young Professionals
who can service the loan but haven't had time to save.
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Families
who want to help their children enter the property market.
FREQUENTLY ASKED QUESTIONS

Got Any Questions?

👨‍👩‍👧 Explore how a guarantor loan could help you buy sooner.

Book a free consultation with us and your family to discuss the process.

Disclaimer: All information provided is general in nature and does not constitute personal financial advice. Guarantors must seek independent legal and financial advice before entering into any guarantee. Lending criteria apply. Please view our Privacy Policy and Credit Guide.