Guarantor/Co-applicant confusion

I posted on here a while back about buying out an ex.

To summarise - my earnings are €40k p.a. and was looking for a mortgage of €330k on a two bed apt.

Brokers etc. have said i would need a guarantor at least, probably a co-applicant.

My co-applicant wants to know how much of an impact would it have on him getting a loan, personal or a new mortgage.

He earns around €50k p.a.

What do you mean by impact?

His/her name will have to go on the mortgage, his/her name will have to go on the title deeds, he/she would have to declare the mortgage when applying for a loan, though I guess he/she could show that he/she wasn't actually paying any of the mortgage, the bank might exclude that.

Is it the case that you simply cannot afford this mortgage? That you cannot get it at all unless someone else joins in or goes guarantor? Should you perhaps just let it go?

mf

mf1 said:

Is it the case that you simply cannot afford this mortgage? That you cannot get it at all unless someone else joins in or goes guarantor? Should you perhaps just let it go?

mf

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I'm buying someone out so losing the place and my first time buyer status isn't an option. The money I would make would disappear in tax when I buy another place.

The banks say I need a guarantor/co-applicant. I can afford it alright, but that's their rules and I must abide by them.

Are you sure you can afford it? Looking at your income, paying out 1,500 on a mortgage off a take home pay of 2,600 (approx) would be a big burden.

Also you don't necessarily loose your Stamp Due allowance, all new property under 1325sqft is exempt from SD.