The Market

The perfect stocking stuffer: An apartment

By A. Ready | December 13, 2010 - 1:05PM 

Sure, you could give your adult child a subscription to Netflix this year, or you could think a little bigger. Money Magazine reports that nationally, 36% of first-time buyers received help purchasing their home this year, primarily from parents, up from 28% the year before. It's not always a good idea though.  The magazine suggests gifting your grown-up child the money if you want to shift assets out of your estate or if your child is just shy of saving enough for a downpayment. Do not loan your child the money unless you are prepared to potentially lose it; co-sign the mortgage only as a last resort; and no matter how you provide the assistance, do not think it means you co-own the home.  One more consideration: If you're buying in NYC, you'll need to focus on condos, or find a co-op board with a liberal attitude toward parental help. (CNNMoney.com)

 

Brick Underground articles occasionally include the expertise of, or information about, advertising partners when relevant to the story. We will never promote an advertiser's product without making the relationship clear to our readers.
topics: