How can parents help children own a home?

How can I help my children buy a home? Stay with me for the next few minutes and I will answer exactly that question for you. My name is Janine Sasso and I am a local realtor here in the northwest suburbs of Chicago servicing Schaumburg, Hoffman Estates, Barrington and the surrounding suburbs. Research shows that many first time homebuyers are getting held back by accumulated debt from student loans and are turning to their parents for help. First thing you could do.

That is probably the easiest, is to simply write a check for a down payment gift that they can then use and apply it to their closing cost and down payment, which will give them a better interest rate and therefore a lower monthly mortgage payment. But that’s not all. There’s more. If you are financially strong and you are looking to help your child buy their very first home, you could potentially become your child’s mortgage lender if you have a boatload of cash available. Now, there are certain statewide and national and federal laws that you have to follow.

However, there are special lending institutions that are specializing in facilitating that kind of sale. So this might be a win win solution because your money will grow faster than if it’s just sitting in a bank account and your child will be able to get the best interest rate around because you’re definitely going to get them a deal. Now, would you consider becoming your child’s mortgage lender? Let me know in the comments. I definitely would love to hear the answer to this question.

You can help your child buy a home by cold borrowing. And what that means is that you will be treated just like any other buyer. Your personal situation and finances will be reviewed and you will be required to sign closing documents at closing. This is most likely the riskiest way that you can help your child buy a home that I am covering during this one. But it is definitely a possibility. So now that you know the three ways of helping your child buy a home, which one is your favorite? Let me know in the comments below. I’d love to find out. Please subscribe to our YouTube channel to stay up to date on topics like this or any other ones that are real estate related. Up to date on the latest listings in Schaumburg, Hoffman, Barrington, and the surrounding suburbs. And if you have any comments, please put them in. I’d love to chat about what is important to you. My name is Janine Sasso, and I am your local real estate resource.

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