The 0% Deposit Solution:Guarantor Home Loans.
Saving a 20% deposit is the single biggest barrier to first-home ownership in Australia. Guarantor loans let family support you into the market with no cash deposit — built on safety, legacy, and a structure that helps you avoid LMI entirely.
The four pillars
How the structure protects everyone.
0% cash deposit, ethically
Borrow up to 100–105% of the purchase price using a parent's equity — without asking them to hand over cash they don't have.
Limited guarantee structure
We cap the guarantor's exposure to the smallest possible portion of your loan, not the full amount.
Avoid LMI
Lenders Mortgage Insurance can cost $15,000–$30,000 on a typical first home. Guarantor loans eliminate it.
Built-in release plan
We map the LVR threshold and timeline that releases your guarantor — usually 3–5 years — so the exit is clear from day one.
Coaching call
We coach the buyer and the family.
A guarantor loan isn't just a transaction — it's an intergenerational decision. We walk both sides through the structure, the limits, the release plan, and the independent legal advice the guarantor must take. Done well, it's the cleanest way a family can transfer opportunity without transferring cash.
Book a Guarantor Loan Strategy Session →No credit hit* to map your borrowing capacity.
What the framework covers
- · Limited vs. unlimited guarantee structures
- · Guarantor equity requirements and lender appetite
- · LMI savings analysis vs. cash-deposit alternative
- · Release timeline tied to your LVR & growth assumptions
- · Independent legal advice coordination for the guarantor
Guarantor loan FAQ
What every family asks before they sign.
What is a guarantor home loan?
A guarantor loan lets a family member (usually a parent) use the equity in their property as additional security for your home loan. It means you can borrow up to 100–105% of the purchase price without saving a 20% cash deposit, and you usually avoid Lenders Mortgage Insurance (LMI) entirely.
Who can be a guarantor?
Most lenders accept immediate family — parents, sometimes siblings or grandparents — who own a property with sufficient equity. The guarantor doesn't have to repay your loan. They're providing security only, and that security is released once you've paid down enough of the loan to stand on your own.
What risk does the guarantor take on?
The guarantor's property is at risk if you default and the loan goes unpaid. We coach both sides through the structure carefully — limiting the guarantee to the smallest possible portion, building a clear release plan, and recommending independent legal advice before anything is signed.
How long does the guarantor stay on the loan?
Typically until your loan-to-value ratio (LVR) drops below 80% — usually through a combination of repayments and property growth. We build a release framework upfront so everyone knows the exit point from day one.
Will using a guarantor affect my credit score?
Comparing options doesn't. Brokerly's initial assessment uses a soft-pull inquiry which does not affect your credit score. A formal hard credit inquiry only occurs when you choose to proceed with a specific lender's application.
General Advice Warning
Brokerly provides strategic educational frameworks. This information is general in nature and does not constitute personal financial product advice. We recommend consulting with a financial planner for advice tailored to your specific situation.
The deposit gets you in. The framework gets you free.
Once you're in the market, the Brokerly Accelerator masterclass shows you the repayment, offset and structure framework to release your guarantor faster — and reach mortgage freedom early.
Explore the Accelerator MasterclassEducational content · Outcomes vary by individual circumstances
* Initial assessments use a soft-pull inquiry that does not affect your credit score. A formal credit inquiry (hard pull) will be required only upon submission of a formal loan application to a lender.