Mortgage for Children

Mortgage for Children - Mortgages for children refers to a mortgage in which a parent is a named guarantor on a mortgage for a child. Mortgages for children have a number of advantages, but some draw-backs. On the plus side, mortgages for children can greatly increase the child’s credit score from an early age. As younger people are, in many instances, less credit worthy than older people, mortgages for children can provide a head-start to their credit score; especially if they go on to apply for their own mortgage in the future. When mortgage approval rates are low, previous experience as an owner-occupier could be crucial to a first time buyer without a guarantor, so a mortgage for children could be a great way to invest in their financial future. 

As with any mortgage, the lender will need to financially asses the child’s position before you reach any decision on a mortgage for children. If a parent is a named guarantor on a property through a mortgage for children, if the child reaches a position in which they are capable of being financially responsible for the whole property, you may be able to remove your guarantee responsibility.

At Capital Fortune, we appreciate that finding a mortgage for children can be a complex task. Although in times when it is harder for first time buyers to get a mortgage approved without a guarantor more people may consider gaining a mortgage for children, they are still a rather niche mortgage type. You may require bespoke mortgage advice. We are in a prime position to give you the tailored advice for your situation and give you the help you require.

Call our mortgage broker team now on 0845 3 630 430 or complete the Mortgage Enquiry Online. As part of our service, we will call you back.