Six in 10 parents would let children return home to help them save money
Parents are going to extreme lengths in order to help their children make their first steps onto the property ladder, according to Habito.
The online mortgage broker questioned 1,000 parents about the difficulties faced by their adult offspring when it comes to home ownership.
A majority (75%) of parents hope that their adult kids will end up owning their own home, and many are prepared to help them get a first foothold.
Ways to help
The survey found that parents had considered different ways of giving their offspring a much-needed savings boost. Sixty-two percent of parents of those currently renting admitted they would be willing to let their kids move back home permanently, to save money.
Almost half (44%) would gift or lend them from their own savings with 20% saying they would lend them £10,000 or more, and others prepared to go to even greater lengths, including downsizing their own home (12%), or even delaying retirement (9%).
Daniel Hegarty, co-founder of Habito, said: “It is tough to get your first step on the property ladder, and it’s reassuring to see sympathetic parents are willing to lend a helping hand.
“While home buying has become much more expensive, comparative to earnings, it is also an overly complicated process and simply having someone with you who has bought a home who can support and guide you is always a big plus.”
Parents in all regions worry about their child’s future home ownership prospects but in London this concern is, unsurprisingly intensified.
Given how expensive rental property is in the capital, every Londoner surveyed said they would have their children live at home rather than spend money renting. They were also most willing to consider downsizing in order to help their children.