Can your family help you buy your own home sooner?
A guarantee provided by an immediate family member can help *secure a loan for a borrower with insufficient funds. Rather than paying mortgage insurance, the lender can use some of the equity in a family member’s property as security for your loan. Its feasible, as the bank will have charge over both properties. In other words, you are borrowing equity from your family! The loan is in your name and the risk to the guarantor is limited to the amount provided as security.
The guarantee is released once the property value has gone up by the amount of the guarantee.