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MNHQ

Find out how Mumsnetters got help from their parents to get on the property ladder

457 replies

LucyBMumsnet · 17/12/2019 09:52

This sponsored discussion is now closed

Getting on the property ladder can be an uphill battle for first-time buyers - from the financial challenges to the legal paperwork it throws at home seekers, many rely on help from parents to make it happen. That’s why we want to find out if you’re considering or currently purchasing or have already purchased your first home and how you went about it.

So we are asking you what help you received or are receiving from your parents, if at all, and roughly, when this was? Who started the conversation, you or your parents? Did you tap into the Bank of Mum and Dad and how did you do that - through their savings, using their existing assets or property, them getting a loan, accessing their pensions or another way? Was it in the form of gift, loan or early inheritance? Did you seek legal advice and formalise the process with your parents? If so, how easy was it to sort out the legal side?

If you could, how would you change the process of receiving your parents’ financial support when buying your first home? If you’re considering saving for your own children’s futures - perhaps so they can buy a home - what’s important to you?

Whether you have considered, currently getting on the property ladder or already have your first dream home, post your thoughts on the topic on the thread below. All MN users who leave their opinion will be entered into a prize draw where 1 lucky winner will get a £150 voucher for a store of their choice (from a list).

Thanks and good luck,
MNHQ

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Find out how Mumsnetters got help from their parents to get on the property ladder
OP posts:
Marg2k8 · 19/12/2019 21:40

My parents gave me £1000 towards a deposit.

sm2012 · 19/12/2019 21:43

I didn't get any financial help from my parents to get on the property ladder but had a small trust fund from my nan which enabled me to put a deposit down for my first flat. Perhaps if I hadn't of had this my parents would have helped out but perhaps not!

Cherrysoup · 19/12/2019 21:45

My dad got a 8K loan and we used it as our deposit, 19 years ago, for a one bed flat. We paid him back monthly til it was returned.

Liquorice13 · 19/12/2019 21:48

My parents didn’t help me at all, I moved in with my partner and had to find all the money myself.

kittykomp · 19/12/2019 22:13

we did it ourselves

AShaveAndAHarecutHalfPrice · 19/12/2019 22:16

No cash help, though they acted as guarantor for my first mortgage back in 1990.

TiggersAngel7774 · 19/12/2019 22:24

they didnt !! now 21 years laterin house we hate too scared to increase mortgage 3 fold to get dream home

GillianY1 · 19/12/2019 22:34

My mum and dad gave us some money towards our first house from savings that had for me since I was a little girl. I am saving for my boys to do the same for them when they are older

BeverlyGoldbergsHairAndJumpers · 19/12/2019 22:38

My parents helped when I bought my first house by letting me live rent free at home for a while to save some money and then my helping me with the deposit back in those days it was ‘only £2000’ but a huge amount to me at just 20 (many years ago!)
They also gave advice such as to work out my monthly payments and how to choose a house with my head not just my heart.

feeona123 · 19/12/2019 22:50

I was very lucky that my parents gifted me some of their savings for our house deposit. It helped a massive amount.

Muchtoomuchtodo · 19/12/2019 22:55

Neither mine nor DH’s parents gave us any financial support at all.

Lots of advice, but no actual money.

MrsFrTedCrilly · 19/12/2019 23:17

I’m not from the type of family where parents subsidise their adult children financially. So we saved and had a loan from DH brother when we bought our first house.
Who knows what the case will be when our children old enough to be j homeowners.

Lindseymorris29 · 20/12/2019 00:28

None, we did it ourselves. I went back full time after my son was born, and although it broke my heart. We both worked our ass off and saved and have finally paid our mortgage off.

Miljea · 20/12/2019 00:51

Mine died.

MadisonAvenue · 20/12/2019 03:01

No help from either my parents or my then boyfriend’s parents (now my in laws).

We didn’t ask, we saw it as our own responsibility to work hard and to save a deposit for our own place.

Sooverthemill · 20/12/2019 07:09

They didn't. My parents didn't have enough money. I bought my first 2 bedroom flat in Stoke Newington for £22,000 with then DH in a 100% mortgage. It was cheaper than the mice infested dive we had been renting. It was always a struggle on our salaries but we managed. I wouldn't have dreamt of asking my parents for any money ever once I left home for uni. I was on an almost full grant ( they were supposed to give me £120 a year but couldn't. So I worked 2 days a week). My now DH is from a different world and is full of agonies because we can't give help to our kids to buy. I'm not worried about that. They work, they earn, they will manage. I'm more obsessed that they should save 10% of their post tax earnings and start a pension!

Littlefrog99 · 20/12/2019 07:38

No help from my parents as they couldn't afford to but DP's parents offered to help with their savings. We applied for a family springboard mortgage with Barclays bank around 5 years ago. We paid 5% deposit, DP's parents added a further 10% and we got a really good initial mortgage rate. After 3 years the bank repaid the 10% back to parents. The house was £114,000. We could have done it without their help but it would have taken longer and we were having trouble with nuisance neighbours in the rented property we were living in. They saved us a couple of years of stress and we were able to start a family sooner. For that we are truly grateful to them.

strawberrisc · 20/12/2019 07:42

They wanted to give me the deposit but I took it from them as an interest free loan. I couldn't have done it without them but it was really important to me to pay them back as I wanted to know I'd always done it as much on my own as possible!

TheoneandObi · 20/12/2019 07:54

I was given £10,000 back in 1993 for a 47k flat in Southampton. Then married DH who sold his similarly priced flat in Glasgow. We pooled researches to buy a shoebox in London, gradually creeping up the ladder. Tbh I think I could have afforded to get on the first rung myself (had a 5k nest egg) but the gift gave me the shove I needed

Punkatheart · 20/12/2019 08:56

My mother sold her house to downsize and give me my inheritance early. I am very poorly with incurable cancer so I can't really earn to pay a mortgage,

ChristmasBaubles · 20/12/2019 09:08

I bought a shared ownership property in 2013. Although I had enough saved for the deposit, I wasn't able to get a mortgage because I was self employed at that time and also had a gap in earnings (not through any fault). My parent generously lent me £50K from their retirement savings to be able to buy the 25% share outright without mortgage and I have been paying them back monthly instalments since then. (I rent the other 75% of the property).

lhlee62 · 20/12/2019 10:48

I was really lucky my parents did well for themselves and had their own business. I helped on the weekends and they paid me well compared to my friends who had jobs paying minimum wage. They always told me to save so when I was 22 I managed to buy a small house in a nice area. When I then met my husband I sold the house and had £70k equity for the house we now live in.

saturnnc · 20/12/2019 11:54

I bought my first home in June 2019, with a helping hand from my mum and dad. Me and my partner saved towards the deposit and then my parents gifted us £4,000 for the final push. We were obviously very grateful.

They know I have been putting money away since I was around 18, so it wasn't so much a conversation, they already knew I was saving. In terms of gifting the money, my dad told me that they would be happy to gift me some money towards a deposit, he was clear the money was for a deposit for a house and nothing else. The money was left over from the sale of their property and I am viewing it as an 'early inheritance'

We did not seek legal advice, they literally just transferred the money over to my current account, I transferred it into my savings account. No formal agreement.

I think in terms of how I would change it, this way worked fine for us. I can see why people would want legal advice and a formal agreement in different situations though. I think a way for the parents to ensure the money is only used for a deposit and not wasted on other things would be good. If it's their money and they are helping out, they may want to ensure it is used appropriately.

If I was to save for my own child, I would gradually put money away for them from birth in an account in my name. Then when I can see they are ready, I would gift it to them. I think it's important for people to save atleast some of the money themselves.

CourgettiSpaghetti · 20/12/2019 12:27

My parents lent me my half of the 10% deposit for my first house, 3.5k. Whilst the purchase was going through, I took out a bank loan to cover the money they lent me and paid them back. I then paid back the bank loan monthly for two years.

vickibee · 20/12/2019 13:20

No help from parents in money terms but they helped in other ways. With decorating and gardening and even laying a new patio area. Saved me a fortune in tradesman prices. I got a moving in pressie too, a new ironing board. Practical if nothing else lol