A co-signer can help an application when credit is light or income falls just short of qualifying on its own. It is also a serious, long-term commitment. Here is how co-signing works, the two ways it can be set up, and what to weigh before you agree.
They offset a gap in the application. If credit is light, a co-signer with a strong, long history helps; if income is short, one with steady earnings does.
Most often a close family member, but there is no family requirement, and more than one person can co-sign if needed.
A co-signer goes through the same income and credit verification as the main applicant. We flag the documents needed as early as we can.
The co-signer's income and credit are added to the application, and they go on title, equally responsible for the debt if the mortgage defaults.
The co-signer vouches that the borrower will repay and is responsible if the loan defaults. Lender rules on each role vary, so we confirm the specifics on your file.
Whether you may need a co-signer or are thinking of becoming one, reach out and we will explain how it works for your situation, in plain language. A licensed member of our team will follow up.
Start a conversationInformation here is general and educational. It is not financial, legal, tax, or lending advice, and it is not an offer of financing. Co-signer roles, responsibilities, and lender requirements vary, and co-signing carries real legal and financial obligations. Consider independent legal and tax advice before committing. All financing is subject to lender review, property review, and supporting documentation. Submission of a form does not guarantee approval or financing.