Parents assisting children with first house

[FlamesAddiction]

My wife and I received nothing. Her dad offered, but we declined. Both my older sisters were given money for their first houses, but then my mother passed away before it was my turn and all the assets from the estate had to be liquidated to pay off the debts from the loans she took to given them money.

My wife's sister is convinced that we took money from her parents though and it irritates me.

[alan21]

My mom let me live rent free at home until I finished school and worked a couple of years to save up. So she saved me enough money for me to put down my own down payment.

[#22]

No help from either side for me and the wife, so we scraped every nickel and dime we had together and bought a duplex. Her parents were / are not well off and mine too busy looking after their own interests

[WilsonFourTwo]

I had enough money for the downpayment and excellent cash flow, but my income at the time was a touch short to qualify. Mom stepped up and co-signed with no strings attached. Turned out brilliantly and was the launching pad for some real estate success, I'm very appreciative.

For the future generation: I save $100/mth for my niece and my friends daughter. The idea is to have around $30k when they begin their working lives. The intent is to provide them with the ability to establish a home/roots. It's not a college/car/travel fund.....it's a life fund.

[WhiteTiger]

Originally Posted by WilsonFourTwo

The intent is to provide them with the ability to establish a home/roots. It's not a college/car/travel fund.....it's a life fund.

A good idea, but what if, at that time, their idea of "life" is different than yours? I am finding that for me, in my late 30's, that the idea of owning a home and "settling down" still bothers me some.

[WilsonFourTwo]

Originally Posted by WhiteTiger

A good idea, but what if, at that time, their idea of "life" is different than yours? I am finding that for me, in my late 30's, that the idea of owning a home and "settling down" still bothers me some.

Yup, I'm absolutely sensitive to that and am ready to be flexible.

I'd prefer to see them establish a home/roots (selfishly, near me!) but if they want to use the money to start a business, support themselves while undertaking an internship, buying a rental property (etc) than so be it.

[RogerWilco]

I saved for a few years in my RRSP so that I could take the max, out on the new home buyers program. In fact if you give your kids up to $25,000.00 have them put it into RRSP and then take it out in the new home buyer and get a good tax credit at the same time. You have 15 years to pay it back into your RRSP.

This is assuming they have enough room to put $25000 into RRSP, which may not be the case if they just started working.

[Regulator75]

No help from either parents (we never asked for assistance and wouldn't have accepted any either). We built back in 2004 (pre-boom).

I've found that when parents have a financial interest in your purchases (Wedding, House, Car, etc...), they typically need/want some control in how you spend it. Where the wedding is held, jumping from 200-400 guests, food, clothes. Which car brand, options, colour. Which community you buy in, size, colour, type, paint, flooring, contractor.

I've seen this happen to friends and family and this crap would drive us nuts.
No money from them = no control for them.

Will I help my Son? You betcha!

Will I be a pain in the ass about it, nope.

[-TC-]

I intend to help my daughter.

First off is assistance with post sec so she's not buried in debt, the second is encouraging her to stay home and save until she's in a position to own a home without being house poor, the third will be providing some financial assistance with said home, whether that's cash, a bridge loan, or buying furniture, appliances or whatever.

Bottom line for me is that it's tough to get going in this economy and I want her to have a solid financial position and a strong understanding of how finance/credit works.

My parents did nothing for me.

[Rathji]

My mom 'gifted' me a chunk of my first down payment, and did similar for my siblings. When my dad died, she had her house paid off, so I guess she felt that was our little bit of inheritance that she could give us to help us all get started.

I have every intention of paying her back, and I know that at least one of my siblings did the same.

[calgaryred]

zero dollars, we saved up 27,000 for a down payment together

[Sluggo]

Not sure if this is beyond the scope of your study but my parents received a loan from my grandparents back in the early 80's at a slightly reduced rate. I believe my parents handled the down payment. I'm sure they would pay it forward to myself or my brother if needed but I would probably hold off and maybe ask if I were to have a extended income drought in the future.

[Ironhorse]

A big fat zero. Bought first place in 1997 (old starter sized home), and upgraded to a larger home in 2006.

[GP_Matt]

My parents gave us $5000 to help pay for the wedding. We used it for the down payment instead as the wedding was still 6 months away and paid for the wedding closer to the date.

On our second home my father in law let us buy all of the plumbing fixtures on his corporate account to save money but we paid him back. He would have with the first house as well but it was a starter home and those builders don't usually like to do anything that isn't taking your money and giving you a house.

[cam_wmh]

My parents helped both myself and my brother.
We were never rich "financially" growing up, but I can say I had a fantastic upbringing and childhood. Quick example is whether my dad slept in for 15 years between September and April, taking my brother and I to hockey. So selfless and noble.

My grandparents also helped my parents. And I intend to do the same.

[puckluck2]

My dad paid the down payment on my first rental property. About 40k with no expectation of repayment but hopefully I'll be able to pay him back one day.

[jtfrogger]

I bought my first house shortly after graduating university in Winnipeg. It was a tiny little house (<700 sq ft and only half a basement), and I believe the downpayment was just shy of $3000. I paid about $55k for the house. My parents and all of my siblings (all significantly older and established) chipped in to buy me a BBQ as a house warming gift. My parents could not have afforded giving me much without sacrificing, which was not necessary.

I bought my first car with a loan from my parents. But it was of mutual benefit. I paid more interest then they were making with the bank, and less than I would have paid with a bank.

[undercoverbrother]

My in laws let us live with them free for 8 months leading up to our house being built.

We used that money as a down payment.

[FLAMESRULE]

My parents lent me $15,000 (10%) of my first condo. When I sold the place 2 years later for $165K I paid them back $16,500. Had an IOU written up and signed with them. I dont feel comfortable taking their money. It's theirs, even though money is not a problem with them. They did the same for my 2 younger sisters.

[Art Vandelay]

My wife's parents gave us $120,000 for our down payment. Kind of an early inheritance. We were living in their basement at the time so I guess they wanted to get rid of us.