June 16, 2025
When you're struggling to qualify for a mortgage on your own—whether due to income, credit, or debt load—adding a co-signer can seem like the fastest solution. A co-signer, often a parent or close family member, agrees to share legal responsibility for the mortgage. This can boost your borrowing power and improve your chances of getting approved, especially if the co-signer has strong credit and stable income.
However, having a co-signer isn't without risks. If you fall behind on payments, their credit takes a hit too. It can also affect their ability to qualify for their own credit in the future, since they’re legally tied to your mortgage. Before bringing someone on board, it's essential that both parties understand the financial and legal implications.
In some cases, it may be smarter to wait a few months and strengthen your own application. Paying down debt, improving your credit score, or saving for a larger down payment could make you eligible without needing a co-signer. Some lenders also offer alternative solutions such as B-lending or flexible qualification programs that can help bridge the gap.
Whether you're considering a co-signer or holding off to qualify on your own, a mortgage broker can help assess your current position and offer a realistic plan forward. Every situation is different—know your options before making a decision that ties your financial future to someone else’s.
Source: Absolute Mortgage Team