Parents ‘help children with property purchases’
Cash-strapped first-time buyers are calling on their parents to help them afford the costs of purchasing a home, new figures have revealed.
In fact, one in seven first-time buyers have been given money by their parents to help them afford a mortgage, research by Abbey has revealed.
Collectively, £27 billion of parents' cash is handed to their adult children in the pursuit to buy a property.
Head of Abbey Mortgages Nici Audhlam-Gardiner explained that while buying a property is "incredibly exciting", it is also costly.
"Because house prices have increased so much over the past few years, buying that first home is also a bigger and more daunting investment than it was for the previous generation so guidance is undoubtedly needed," she said.
The average loan from parents is £5,874, the survey found.
Earlier this week, Scottish Widows discovered that 42 per cent of adult children have used money from their parents to pay off debts.
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