What is the difference between a Co-signer and a Guarantor?

A Co-signer is placed on the mortgage and is registered on title. A Guarantor signs a document that personally guarantees the mortgage but is not registered on title. Most lenders will allow for both on an application.

Generally, a co-signer is required when the borrower, in the eyes of the lender, has insufficient income to support the full costs of homeownership. A lender may ask for a guarantor if the borrower’s credit falls short of the lender’s requirements.