Applying for a mortgage with one, two, or more holders isn't simply a matter of who appears on the deed: it substantially changes the borrowing capacity assessed by the bank and the legal liability each holder takes on for the debt.
Why adding holders can increase the amount you're granted
When you apply for a mortgage with more than one holder (a couple, for example), the bank assesses the joint ability to pay, adding up the income of all holders to calculate the maximum allowed debt-to-income ratio (typically around 30-35% of combined net income). This can allow access to a larger loan amount than if each holder applied for the mortgage individually.
Joint and several liability: everyone answers for the whole debt
A key legal point that many people don't fully understand when signing: when a mortgage has several holders, each one is liable to the bank on a joint and several basis for the entire debt, not just the proportional share that would "correspond" to them based on their share of ownership. This means the bank can claim 100% of the outstanding debt from any of the holders, regardless of their ownership percentage, if the other holder stops paying.
What happens if one of the holders stops paying their share
If, for example, in a mortgage with two holders one of them stops contributing their share of the installment, the other holder remains liable to the bank for the entire debt, and must cover the full payment if they want to avoid default and its consequences (regardless of whether they can later claim back internally from their co-holder the share that corresponded to them, a separate matter from the relationship with the bank).
Adding an extra holder just to improve solvency (mortgage guarantor)
In certain cases, an additional holder is added (or a non-debtor mortgagor) mainly to strengthen the solvency the bank perceives, without that person necessarily planning to live in the property. This person takes on the same joint and several liability for the debt as any other holder, a significant commitment that should be weighed carefully before accepting this role.
How it affects ownership, not just the debt
It's important not to confuse mortgage holding (who is liable for the debt) with ownership of the property (who owns it), even though they usually coincide: it's possible, although less common, for the ownership share of the property not to exactly match the share of liability taken on in the loan, something that should be clearly established in the deed.
Simulate your joint borrowing capacity
Our mortgage calculator lets you estimate the resulting installment based on the capital you need to finance, useful for assessing how your scenario changes when applying for the mortgage with one or several holders.