Increase the possibility of obtaining mortgages with co-borrowers.

There may be several people who take out a mortgage. One person is then called the main applicant and the other co-applicants . This can increase the possibility of obtaining a loan if the principal applicant has low income or poor credit rating.

Jointly responsible for payment

Both the main applicant and the co-applicant are jointly and severally liable. This means that if one cannot pay, then the entire payment responsibility goes to the others.

This differs from using guarantors in that no new legal process is needed for the bank to secure the payment for its loan. Therefore, banks and credit institutions prefer co-borrowers over guarantors.

How many co-borrowers can you have?

How many co-borrowers can you have?

Most banks accept three co-applicants for home loans. There are also four co-borrowers.

The most common is that you have co-borrowers in the case of mortgages. Sometimes it can be a partner. But it can also be, for example, parents.

Benefits of co-borrowers

  • It may be easier to get a loan.
  • You can get a higher loan.
  • The interest rate can be pushed down.

Disadvantages of co-borrowers

Disadvantages of co-borrowers

It is important to understand that wood borrowers and co-borrowers are equally responsible for repaying the loan. If there is a problem, a co-borrower can also be responsible for repaying the entire loan.

If there are several co-borrowers, one of those that the bank considers has the greatest opportunity to pay becomes fully liable for payment, if the main borrower is unable to handle his payments.

A co-borrower thus assumes a great responsibility, which is even higher than that of a guarantor.

Good to know


Given that today’s amortization requirements take into account the borrower’s income in relation to the size of the loan, it can be advantageous if two people living together also apply for their home loan together.

However, it should be borne in mind that if, for example, you have parents as a co-borrower, then the new loan may also affect the repayment requirements of their own mortgage loan. Read more in our text on amortization requirements.

If a principal or co-borrower dies, the life insurance (a life insurance) is taken out when the loan agreement is entered into.

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