Dig up the grandparents! What good are they lying around not buying property for their poor grandchildren?!
Surely this will be the last stop before the property market hit the buffers big time. The money must be running out if mum and dad are feeling the pinch.
Government's Help to Buy housing scheme increasingly benefiting higher earners
source: Bank of Mum and Dad 'feels the pinch' - BBC News
Surely this will be the last stop before the property market hit the buffers big time. The money must be running out if mum and dad are feeling the pinch.
Government's Help to Buy housing scheme increasingly benefiting higher earners
Parents are parting with thousands of pounds to help their children get on the property ladder, but they can't afford to lend as much as they used to.
The average parental contribution for home buyers this year will be £18,000, down 17% from last year's £21,600, according to Legal & General (L&G).
The drop shows that parents are "feeling the pinch", the firm says.
Nonetheless, more than one in four buyers are still expected to receive financial help from friends or family.
In total, financial services firm L&G said 27% of home buyers would get assistance - up from 25% last year.
Despite the smaller sums being loaned, L&G said the so-called Bank of Mum and Dad was still "a prime mover" in the UK housing market.
'My parents had put aside money to gift me'
Francesca Hunt, from London, was given between £20,000 and £30,000 (she does not want to say the exact amount) by her parents last year to help her buy a house.
She had enough money by herself for a deposit on a one-bed flat, but her parents thought a two-bedroom flat was a better investment.
"My parents decided that the price difference from a one to a two bed isn't, in the grand scheme of things, too much more," she says.
Francesca said her parents had already put aside money to gift her at some point.
"If not, I would have inherited the money anyway. Better to use it now to get on the property ladder before prices go up even further," she says.
The money her parents provided was "gifted" and Francesca says they don't own any of her flat as a result of their investment.
L&G said almost 317,000 housing transactions this year would rely on at least some parental help.
However, overall lending was expected to drop to £5.7bn this year from £6.5bn in 2017.
Number of middle-aged renters doubles
How many £1m-plus homes are sold near you?
Could the Bank of Mum and Dad lend to other people's children?
Where buyers live also has a big impact on how much they rely on their parents for help. In London, the average parental contribution is £31,000 compared with £11,000 in Scotland.
The average parental contribution for home buyers this year will be £18,000, down 17% from last year's £21,600, according to Legal & General (L&G).
The drop shows that parents are "feeling the pinch", the firm says.
Nonetheless, more than one in four buyers are still expected to receive financial help from friends or family.
In total, financial services firm L&G said 27% of home buyers would get assistance - up from 25% last year.
Despite the smaller sums being loaned, L&G said the so-called Bank of Mum and Dad was still "a prime mover" in the UK housing market.
'My parents had put aside money to gift me'
Francesca Hunt, from London, was given between £20,000 and £30,000 (she does not want to say the exact amount) by her parents last year to help her buy a house.
She had enough money by herself for a deposit on a one-bed flat, but her parents thought a two-bedroom flat was a better investment.
"My parents decided that the price difference from a one to a two bed isn't, in the grand scheme of things, too much more," she says.
Francesca said her parents had already put aside money to gift her at some point.
"If not, I would have inherited the money anyway. Better to use it now to get on the property ladder before prices go up even further," she says.
The money her parents provided was "gifted" and Francesca says they don't own any of her flat as a result of their investment.
L&G said almost 317,000 housing transactions this year would rely on at least some parental help.
However, overall lending was expected to drop to £5.7bn this year from £6.5bn in 2017.
Number of middle-aged renters doubles
How many £1m-plus homes are sold near you?
Could the Bank of Mum and Dad lend to other people's children?
Where buyers live also has a big impact on how much they rely on their parents for help. In London, the average parental contribution is £31,000 compared with £11,000 in Scotland.
Comment