How Family Guarantee Loans Work
A family guarantee home loan allows a family member – usually a parent – to use the equity in their home as security for your loan. This means you can:
- Borrow up to 100% of the property value
- Avoid paying lenders mortgage insurance (LMI)
- Enter the market sooner, even with a small or no deposit
The guarantor doesn’t need to give you cash. They offer part of their property (e.g. 20%) as additional security. As your loan is paid down or your property increases in value, the guarantee can be removed.
How We Can Help
We specialise in helping families use guarantee loans responsibly, with the right protections in place. Our services include:
Loan structuring with guarantor support
We set up the loan so only the guaranteed portion is secured against the family property.
Advice on eligibility and lender policies
Not all banks allow family guarantees – we compare options across 40+ lenders to find the right fit.
Exit strategy planning
We help you understand how and when the guarantor can be released from the loan.
Risk management for the guarantor
We help your family member fully understand their obligations and how their property is affected.
Clear support at every step
From application to settlement, we keep you and your guarantor informed throughout the process.
Is a Family Guarantee Loan Right for You?
Family guarantee support may be suitable if:
- You’re a first home buyer with little or no deposit
- You want to avoid paying lenders mortgage insurance (LMI)
- Your parent or close family member owns a property with enough equity
- You have a stable income but are finding property prices a challenge
- You want to buy now rather than spend years saving a deposit
If you’re unsure whether a family guarantee is possible, we can assess your situation and explain your options.
Why Choose HomeLoan 4 You?
Combining family and finance can be a big decision. We offer support that aligns with your property goals – and respects the interests of everyone involved.
We explain everything clearly
No surprises – just straightforward help so everyone knows what’s involved.
We work with all major lenders
Some lenders are more flexible with family guarantees – we compare them all to find the right match.
We prioritise family protections
We structure loans to limit the guarantor’s exposure and help reduce the guarantee as quickly as possible.
We make approval easier
With access to 40+ lenders and experience, we can present your application strongly.
We handle all the paperwork
From start to settlement, we take care of the details.
We support you after settlement
We stay in touch to help you refinance or remove the guarantee when the time is right.