Mortgage Guarantor Service Market Report 2025

The mortgage guarantor service market size has grown strongly in recent years. It will grow from $6.33 billion in 2024 to $6.88 billion in 2025 at a compound annual growth rate (CAGR) of 8.8%. The growth during the historic period can be linked to a greater dependence on third-party credit enhancements, increased demand for subprime mortgage approvals, rising foreclosure rates that led to stronger risk controls, expanded cross-border mortgage lending, and heightened lender concerns about borrower default rates.

The mortgage guarantor service market size is expected to see strong growth in the next few years. It will grow to $9.54 billion in 2029 at a compound annual growth rate (CAGR) of 8.5%. The growth in the forecast period is driven by the rising use of AI-powered credit assessment tools, increased government initiatives supporting affordable housing, growing demand for digital mortgage solutions, wider adoption of fintech in mortgage underwriting, and a stronger preference for low down payment loans. Key trends expected in the forecast period include advancements in digital mortgage underwriting, innovations in risk-based pricing models, integration of AI for fraud detection, automation of guarantor approval processes, and development of low-code platforms for customizable guarantor workflows.

The increase in home sales is driving the expansion of the mortgage guarantor service market due to greater loan accessibility and reduced lending risk. Home sales refer to the number of residential properties purchased by individuals or families. This rise is primarily fueled by falling mortgage interest rates, which make home loans more affordable and attract more buyers to the housing market. Mortgage guarantor services mitigate lending risks for banks, allowing more buyers with limited credit or income to secure loans, thereby expanding homeownership opportunities and accelerating property transactions. For example, according to the National Association of Realtors, a US-based trade association representing the real estate industry, total existing-home sales in 2024 reached 4.29 million, up from 3.91 million in 2023. Consequently, the growth in home sales is boosting the mortgage guarantor service market.

Leading companies in the mortgage guarantor service market are focusing on developing sophisticated solutions such as end-to-end mortgage guarantee platforms to improve the borrower experience. These digital platforms manage the entire mortgage guarantee process, enhancing efficiency and minimizing manual errors to enable faster loan processing for lenders and borrowers alike. For instance, in July 2025, SBI Credit Guarantee Co., Ltd., a Japan-based financial services company, launched a mortgage guarantee business using the nCino platform as its digital foundation to speed up operations and facilitate rapid market entry. The platform’s comprehensive integration allowed for quicker processing, scalability, and adaptability to changing customer and business demands. This initiative helped SBI improve customer experience while strengthening its position in the mortgage guarantee market.

In June 2024, Arch U.S. MI Holdings Inc., a US-based provider of private mortgage insurance and reinsurance services, acquired RMIC Companies, Inc. (RMIC) for an undisclosed amount. The acquisition aims to utilize Arch MI’s scale to realize significant expense and capital synergies and to reinforce Arch’s standing in the U.S. private mortgage insurance sector. RMIC Companies, Inc. is a US-based provider of run-off mortgage guaranty insurance, servicing existing loans.

Major players in the mortgage guarantor service market are Royal Bank of Canada, QBE Insurance Group Limited, ICICI Bank Ltd, Arch Capital Group Ltd., Genworth Financial Inc., Alliant Insurance Services Inc., Chicago Title Insurance Company, TruStage Financial Group, Inc., Stewart Information Services Corporation, CMG Financial, Mortgage Guaranty Insurance Corporation, Radian Group Inc., Essent Group Ltd., Hollard Insurance Company Pty Ltd, NMI Holdings Inc., Habib Bank AG Zurich, PMI Mortgage Insurance Co., Triad Guaranty Inc., India Mortgage Guarantee Corporation Pvt Ltd, AmTrust International Limited.

North America was the largest region in the mortgage guarantor service market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in mortgage guarantor service report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa. The countries covered in the mortgage guarantor service market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report’s recommendations and conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.

The rapid escalation of U.S. tariffs and the resulting trade tensions in spring 2025 are significantly impacting the financial sector, particularly in investment strategies and risk management. Heightened tariffs have fueled market volatility, prompting cautious behavior among institutional investors and increasing demand for hedging instruments. Banks and asset managers are facing higher costs associated with cross-border transactions, as tariffs disrupt global supply chains and dampen corporate earnings, key drivers of equity market performance. Insurance companies, meanwhile, are grappling with increased claims risks tied to supply chain disruptions and trade-related business losses. Additionally, reduced consumer spending and weakened export demand are constraining credit growth and investment appetite. The sector must now prioritize diversification, digital transformation, and robust scenario planning to navigate the heightened economic uncertainty and protect profitability.

Mortgage guarantor services involve a third party - either an individual or an organization - agreeing to assume responsibility for a borrower’s mortgage loan if the borrower fails to make payments. These services offer additional security to lenders by lowering the risk of default, thereby helping borrowers with limited credit history, low income, or insufficient collateral to qualify for a mortgage.

The primary categories of mortgage guarantor services include individual guarantors and corporate guarantors. Individual guarantors are financially stable private persons who support a borrower’s mortgage, reducing lender risk and enhancing the chances of loan approval. The types of customers served include first-time homebuyers, real estate investors, existing homeowners seeking refinancing, and commercial property buyers. These customers are catered to by various providers such as banks, non-banking financial institutions, credit unions, and online platforms, covering a range of applications including residential and commercial mortgages.

The mortgage guarantor service market research report is one of a series of new reports that provides mortgage guarantor service market statistics, including the mortgage guarantor service industry global market size, regional shares, competitors with the mortgage guarantor service market share, detailed mortgage guarantor service market segments, market trends, opportunities, and any further data you may need to thrive in the mortgage guarantor service industry. This mortgage guarantor service market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.

The mortgage guarantor service market includes revenues earned by entities through loan guarantee services, credit enhancement solutions, mortgage insurance, risk assessment and underwriting support, and financial advisory services. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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