I thought this article was insightful. With our market evening out - and possibly leaning towards a buyer's market, first time home-buyers have lots of inventory to choose from.
Daily Real Estate News | March 24, 2008
How to Help the Kids Buy First Home
Helping the kids buy a first home is a time-honored tradition that has become even more significant as home prices rise and incomes flatten.
Here are three ways parents can help their children:
Cash. For parents with the means, cash is clean and easy. An individual can give $12,000 a year to a recipient without having to pay a tax on the gift. Therefore, a couple could give an adult child and the child's spouse a total of $48,000 in one year. To keep things simple,
the gift is best given well in advance of the mortgage application.
Cosigning or otherwise jointly investing in the property. This can work for parents of more limited means or those who want to be paid back. The biggest risk is that the offspring will be unable to meet their obligations and it will affect the parent’s credit rating.
Knowledge and hard work are worth gold. Parents who can’t afford to help financially maybe able to provide experience and even some sweat equity to help the kids make a smart housing choice.
Source: Market Watch (03/21/2008)
For more information on Fredericksburg, Gillespie County, or the surrounding Texas Hill Country, visit my website, www.jzenner.com, or contact me today via e-mail, Jeanne@jzenner.com or phone, (830) 456-1331.
0 comments on How to Help the Kids Buy First Home
Add a comment
To add comments without entering your email and image verification, you must be logged in. Login or Join Blogster