Latest news with #BankOfMumAndDad
Yahoo
02-08-2025
- Business
- Yahoo
Four-bedroom house in sought-after Pembrokeshire village for sale
A four-bedroom detached house in Saundersfoot is up for sale for £580k. According to the listing, the property, named The Kielder, is a new build that offers adaptable living space, suitable for a growing family. Located on Sandy Hill Road, the house is described as having a layout that caters to a dynamic family lifestyle, with two bathrooms and multi-purpose rooms that can be adjusted to meet varying needs. The ground floor consists of a family room, kitchen, living room, and dining room, each providing ample space for family activities and gatherings. The kitchen area (Image: Zoopla) The first floor comprises four bedrooms and a study, ensuring enough sleeping and working space for all family members. The property is part of the Ger Y Môr development, which offers energy-efficient new homes in the picturesque seaside village set in the Pembrokeshire Coast National Park. The property is being offered under various schemes, including a 5 per cent Deposit Contribution Scheme, Part Exchange, Own New Rate Reducer Scheme, Home Change, Deposit Unlock, and Bank of Mum and Dad. The location provides easy access to local shops, essential services, and a variety of restaurants. The living room (Image: Zoopla) The Saundersfoot village centre is within walking distance, offering independent boutiques, cafés, and the bustling Saundersfoot Harbour. Outdoor enthusiasts can enjoy the Pembrokeshire Coast Path and Saundersfoot Beach, both in close proximity to the property. Saundersfoot Railway Station is just a five-minute drive away, providing regular services to Tenby and other locations.
Times
20-07-2025
- Business
- Times
Sunday Times letters: Taxing the property-owning class
Regarding Matthew Syed's article 'The property-owning class should take a big hit. Yes, that includes me' (Jul 13), although I am part of the boomer generation that has benefited enormously from rising property prices since the 1970s, so, too, have our children and grandchildren. They have benefited from the Bank of Mum and Dad/Granny and Grandad. In the main, us oldies did not benefit from such munificence from our elders. My first rent was 67 per cent of my salary, a higher percentage than the average today. It made me determined to own my own home. I achieved that after working six evening jobs in addition to my main job. Then came property investments. Rather than tax breaks, what made buying property attractive was a steady additional income that could be saved while working (and invested in equities), while continuing to provide an income if I was ever out of work or decided to retire. Generally, the young eat out more often, go on holiday more often, buy takeaway coffees more often and expect a better work/life balance while expecting the government to help them out. Life is about choices. Victoria Mitchell Kingsclere, Hants
News.com.au
23-06-2025
- Business
- News.com.au
Calls to lift NSW stamp duty exemption limit
ANALYSIS With the NSW Budget for 2025–26 to be announced tomorrow, the government's policy decisions on housing are already locked in. But whatever is unveiled, one thing is clear: it's the bank of mum and dad that's already stepping up to support first home buyers. At Loan Market, we've seen guarantor-backed pre-approvals for first home buyers in NSW more than double in the past year. Around 11 per cent of these now involve a parent using their home as security, up from just 5 per cent a year ago. It's a clear signal: more young Australians are leaning on their families, not because they want to but because they have to. And the challenge goes well beyond house prices. Since 2020, rent in Sydney has jumped 44 per cent, while groceries have increased by 27 per cent at the checkout and other costs, like car insurance have soared by more than 40 per cent. These are everyday pressures, not luxuries, and they're making it even harder for people to save. At the same time, seasoned investors have returned to the market with confidence. At Loan Market, we've seen a 31 per cent rise in investor loans year-on-year. If the government is serious about helping first home buyers, the conversation can't stop at housing supply. Stamp duty is one of the biggest upfront costs they face and it's stopping many from even getting close. Right now, full stamp duty exemptions only apply to properties under $800,000, with partial concessions up to $1 million. That might have worked once, but those numbers don't reflect today's reality. Sydney's median house price sits at $1.46 million, according to PropTrack data. Even the median unit price is $820,000, already above the current threshold. Take a couple trying to buy their first apartment at that median price. If they tip over the $800,000 limit, they could be hit with nearly $33,000 in stamp duty. That's on top of their deposit, legal costs, and moving expenses. And if they're hoping to buy a house in Sydney? The median puts any stamp duty support completely out of reach. Some suggest buyers should just look further out. But for many with jobs in the city, family nearby, and deep community ties moving over 40 minutes away simply isn't realistic or fair. More and more, we're seeing first home buyers invest interstate instead, renting out the property while building equity. It's a smart move in tough conditions but it's also a sign of a broken system. Raising the full exemption threshold to $1.5 million, closer to real-world property prices, would make a genuine difference. Buyers would still need to pass strict lender serviceability tests, including a 3 per cent buffer. But it would ease one of the biggest barriers they face. And we can't forget the broader picture. First home buyers keep the market moving. When they step in, others can upsize, downsize or move where they need. When they're shut out, it slows everything down. Of course, not everyone has parents who can help. And even when they do, it often comes at a cost like delaying retirement, putting travel plans on hold, or shelving downsizing. That's where great brokers make a real difference. They help structure a pathway to reduce the debt and remove the guarantor as soon as it's viable. It's not about cutting corners, it's about smart, sustainable solutions. There's also a case for stamp duty exemptions or concessions to be given to retirees, as well. If empty nesters were encouraged to downsize from their large family homes, there would be more supply in the market for families looking to upsize. Greater supply in the market provides more choice and sustainability in prices. Stamp duty reform has been debated for years. The question now is whether tomorrow's budget will finally shift from talk to action. This isn't just a policy choice. It's an opportunity to back Australians who are doing everything right – working hard, saving hard, and leaning on family when there's no other option. It's time to support the parents who've been carrying the load, and the next generation trying to find their place in the market. It's time to turn intent into action. Here's hoping this budget delivers for those working hardest to get their start or for young Australians to get the same opportunities like others before them.
News.com.au
18-06-2025
- Business
- News.com.au
Where first-home buyers are snapping up 50pc of properties
Buying your first home remains a strong aspiration in Australia but the pathways into the market are constantly evolving. Some first home buyers prefer to build whilst others favour established properties. Some choose to buy their first property for investment rather than owner occupation. Many are relying on the Bank of Mum and Dad for help with the deposit. Others are taking advantage of government assistance programs like the First Home Guarantee to get on the property ladder. The latest NAB Residential Property Survey looked at first home buyer activity across the five mainland states during the March quarter. The survey showed slightly stronger first home buyer activity in the new housing market (34.2 per cent of total sales) versus the established housing market (32.8 per cent of total sales). There may be stronger interest in new housing due to First Home Owner Grants only being available for new properties. Additionally, house and land packages are attractive to first home buyers because they are usually located in more affordable suburbs on the city fringes. Across the states, new homes are most popular in Western Australia. Almost one in two (47.6 per cent) new home sales in the March quarter went to first home buyers compared to 32.2 per cent of established home sales. New homes were also more popular than established homes in NSW, Queensland and South Australia, but by a much smaller margin than in Western Australia. It's the reverse in Victoria, where first home buyers are much more interested in established homes. About 37.6 per cent of established home sales in Victoria during the March quarter went to first time buyers versus 23.8 per cent of sales in the new housing market. If we divide the data between first home buyer owner occupiers and investors, we also see some distinct trends. For example, NSW recorded the highest portion of both new home sales (15.6 per cent) and established home sales (10.3 per cent) to first time buyers purchasing for investment. What is helping many of these buyers into the market is government support — especially the First Home Guarantee, which allows eligible first home buyers to purchase with a 5 per cent deposit while the Federal Government effectively acts as guarantor on their loans. This bypasses the need for costly lenders' mortgage insurance and has opened the door for buyers who may have otherwise needed many years to save the standard 20 per cent deposit. During the election campaign, Labor promised to expand the First Home Guarantee by removing income caps for applicants, raising the existing property price limits, and providing an unlimited number of loan guarantees. While assistance schemes are making a difference, challenges remain for first time buyers. Affordability is the biggest hurdle across the board. A lack of stock has also made buying difficult, particularly in Queensland, South Australia and Western Australia. The supply crunch may be pushing more buyers to compromise on location or shift focus to building rather than buying established homes, though construction costs remain high. Despite the obstacles, property professionals expect first home buyer activity to increase in the coming year, according to the survey. Lower interest rates and the expanded First Home Guarantee will no doubt help (a start date for the expanded program is yet to be announced). Aspiring first home buyers should prepare for stronger competition in the marketplace by getting pre-approved finance and conducting all their market research as soon as possible.
Telegraph
04-06-2025
- Business
- Telegraph
The new baby boomer tax funding your children's holidays
First it was houses, now it's holidays. Today's grandparents, largely the post-war baby boomer generation, are increasingly the source of funding for almost everything in Britain. The Bank of Mum and Dad has been stumping up deposits for house purchases, particularly in London and the South East, in large numbers for a couple of decades now. House price growth has far outpaced wage rises since the 2007-08 financial crisis tanked the global economy and froze wages in real terms. The lucky recipients – myself among them – of these so-called 'gifted deposits' are now having children of their own. Once the sprogs reach school age, and your holidays are restricted to times when half the country is also off, the costs are truly astronomical – and they're getting worse. Colleagues on the Telegraph Travel desk found a return flight to Corfu from Gatwick with easyJet cost £1,300 per person during last week's half-term break. The same journey this week will set you back just £263 per person. It's no wonder growing numbers of families are instead choosing to take their kids out of school during term time and paying the fines imposed by the council for truancy. Yes, some families take the Michael, but for others, the choice is between breaking the law and having no holiday at all. And gone are the days when you could rely on a cheap break in this country, either. Even camping has gone bonkers, with bare pitches (where you bring your own tent) costing £50 a night at some campsites. So, as infantilising as it is, baby boomers are now having to fork out for their children and grandchildren's holidays, too. The truth is that this generation, now in their 60s and 70s, are the only ones with any money in Britain any more. The triple jackpot – index-linked final salary pension, full state pension and a mortgage-free property – is enjoyed by millions of people. Today's workers have wages that have stagnated, once you take into account the effects of inflation, and are labouring under the highest tax burden since the end of the Second World War. If you earn £60,000 a year, your monthly take-home pay (after tax and pensions) will be around £3,300. Take off a typical mortgage or rent, nursery fees for one child, a London travelcard, utilities and food, and you're left with little more than £200. That's simply not enough to build any kind of wealth to afford regular breaks in school holidays. At the same time as younger generations are being squeezed, the Government is coming up with more reasons for older people to give away their money more quickly than ever. For instance, from April 2027, unspent pensions will fall into the scope of inheritance tax at 40pc (assuming the £1m tax-free allowance most couples have has been used up). It is policies like this that have led pensioners to rush to spend their savings before the Treasury can get their grubby hands on it. During last week's holiday, several of the families holidaying around us were all going on the grandparent pound. There were a few nice cars outside – all owned by the retired grandparents, of course, not by their working children. Those of us lucky enough to have parents willing and able to help are very grateful, but it shouldn't be like this. Something has gone horribly wrong when grown adults are reliant on their parents for a roof and the odd jolly with their families in their own country.
