First-time buyer asks Mum to be a guarantor to help buy property

A Brisbane first homebuyer was given a lifeline from her mother to break into the competitive Brisbane property market. FIND OUT HOW

Kiah Coupland was assisted by her mother as a guarantor on her first home. Pictured is Kiah inside her home with her dog Coco.

A helping hand breaking into the competitive property market is the greatest gift parents can offer their children, with data showing the increasing difficulty first home buyers face when trying to break into the property market.

Kiah Coupland, a young woman who purchased her first home in Ripley, used her mother as a guarantor on her first home due to the difficulty of accumulating a deposit.

“Deposits are difficult for first home buyers due to the cost of living and paying rent to the average wage,” Ms Coupland said.

“It was a daunting process for my Mum to become a guarantor.

Kiah Coupland was assisted by her mother as a guarantor on her first home. Pictured is Kiah inside her home.

“We went through a broker, and she still had to supply the same amount as I did; they had to value her house to see if there was enough equity in it and her Mum’s affordability in case I forfeited the loan.

“After that, we had to get legal advice to sign off on it.

“I was fortunate that my equity grew on the house quickly enough that she only had to be a guarantor for the first 18 months.

Ms Coupland said her advice to first-home buyers would be to start small and then grow.

“Start on a beer budget, not your champagne expectations,” she said.

“When my loan was approved, I got more money than I needed to be safe.

“I decided to move west because it was cheaper and more manageable to live than towards the inner city.

“My goal is to keep my first home as an investment property, but for now, I’ll stay put to keep paying the mortgage off and still have a comfortable life.”