Limited Liability

A Limited Liability agreement is where mortgage lenders can offer a guarantor mortgage, In the event that the mortgage borrower is unable to keep up with repayments, a guarantor will be liable to pay a certain percentage of the total mortgage loan.

Usually, the guarantor will be a close relative of and will need to have a strong enough credit profile to prove that they can compensate for the borrower in the worst-case scenario.

A Limited Liability arrangement allows certain home buyers to secure a mortgage when they would otherwise be unable to qualify for a traditional mortgage loan.