SUPPORTING FAMILY
Help your kids enter the property market.
More Perth parents are helping their children buy their first home. We structure the lending so it works for everyone — with clear boundaries and manageable risk.
The structure matters — both for the child entering the market and for the parents supporting them.
Rising property prices across Perth mean many first home buyers need family support to get started. Whether it's a guarantee, a gifted deposit, or a co-lending arrangement, the structure matters.
WMP Finance helps families navigate this clearly and carefully, ensuring everyone understands their obligations and is protected.
Three ways families lend a hand.
Family guarantee / guarantor loans
Use equity in your own home to support your child's deposit, without handing over cash. The guarantee can be limited to a specific amount, protecting the parents' exposure.
Gifted deposit arrangements
Structuring a cash gift as a deposit for your child's first home, including the documentation lenders require to satisfy their assessment criteria.
Co-borrower / joint lending
When parents and children borrow together, with clear strategies for the parent to exit the loan once the child's financial position strengthens.
Frequently Asked Questions
What is a family guarantee and how does it work?
A family guarantee (sometimes called a security guarantee) lets a parent use the equity in their own home as additional security for their child's loan. This can reduce or remove the deposit the child needs, and often avoids Lender's Mortgage Insurance.
Crucially, the guarantee can be limited to a specific dollar amount — so the parents' exposure is capped, rather than being on the hook for the entire loan.
Does being a guarantor affect my own borrowing capacity?
It can. While you don't make the repayments, the guarantee is a contingent liability that some lenders factor into your own future borrowing. The impact depends on the lender and how the guarantee is structured.
We make sure you understand how a guarantee might affect your own plans — for example, if you intend to borrow again before your child can release you.
How do we exit the guarantee once my child can stand on their own?
The guarantee is typically released once the child's loan falls below 80% of their property's value — through a combination of repayments and growth in the property's value. At that point the parents' security is no longer needed.
We build that exit into the plan from the start, and review it with you periodically so the guarantee doesn't stay in place longer than it needs to.
Frequently Asked Questions
What is a family guarantee and how does it work?
A family guarantee (sometimes called a security guarantee) lets a parent use the equity in their own home as additional security for their child's loan. This can reduce or remove the deposit the child needs, and often avoids Lender's Mortgage Insurance.
Crucially, the guarantee can be limited to a specific dollar amount — so the parents' exposure is capped, rather than being on the hook for the entire loan.
Does being a guarantor affect my own borrowing capacity?
It can. While you don't make the repayments, the guarantee is a contingent liability that some lenders factor into your own future borrowing. The impact depends on the lender and how the guarantee is structured.
We make sure you understand how a guarantee might affect your own plans — for example, if you intend to borrow again before your child can release you.
How do we exit the guarantee once my child can stand on their own?
The guarantee is typically released once the child's loan falls below 80% of their property's value — through a combination of repayments and growth in the property's value. At that point the parents' security is no longer needed.
We build that exit into the plan from the start, and review it with you periodically so the guarantee doesn't stay in place longer than it needs to.
An important honest note
Guarantor arrangements carry real risk for both parties. WMP Finance ensures everyone fully understands their obligations before proceeding. We recommend seeking independent legal advice before entering a guarantor arrangement.