Will being a guarantor of my brother’s mortgage affect my ability to get my own loan or mortgage?

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Does being a guarantor on someone else’s loan count as a loan obligation on my personal credit statement? Or would it only count against me if my brother defaults and then I have to pay for the loan? I think I’ll need to get a bigger mortgage in a year, but don’t want his mortgage to hinder my own credit/loan maximum. Thanks!
This is not being a co-signer…I know that that counts against you as if it was your own loan. This is to be a guarantor. Thanks.

  1. Reply
    mary z
    April 29, 2011 at 11:39 pm

    Yes it will..basically your brothers loan is your loan since you are on the hook for it if your brother defaults. Until your name is off his loan consider it yours.

  2. Reply
    Robin W
    April 30, 2011 at 12:10 am

    Disclaimer: this is not legal advice.

    If you mean you are a co-signer on his mortgage, both of you are responsible for the entire amount. That is what “joint and several liability” means. Get a copy of your credit report. It will be there. Of course it counts against you.

  3. Reply
    April 30, 2011 at 12:45 am

    I’m not sure how you can be a guarantor unless you signed an agreement. Maybe it was called something else.
    If you did, you are a co-signer and it is a financial obligation that will be part of your credit score.
    Talk to your bank before you go for your mortgage. Things have changed a lot in recent mos.

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