Here are a few ways that parents can help make homeownership a possibility for their children.
Cash Gift
Cash gifts are a popular method for parents to help adult children with a down payment. In 2023, each parent can gift a child up to $17,000 without having to pay a gift tax.
Give a Loan
Loans can be set up with monthly terms and statements to make it official and ensure that your child holds up their end of the bargain.
Co-Sign a Mortgage
If they have the down payment, cash reserves and steady income, but are still having trouble qualifying for a mortgage, they might benefit from a co-signer.
Buy It Outright
Whether you choose to gift a home or function as their landlord with a rent-to-own payment plan, there are several options afforded by simply buying it in your own name.Â
