With a Little Help From the Parents - LoanSafe

Without the financial help from his parents, Fernandez could not have bought his condo. Hard numbers are difficult to come by, but from April to June 2011, 21. Realtors say most of the help is probably in the form of a gift. Parents who have been through previous Real Estate cycles see this as an opportunity. Anything above the annual cap is subtracted from the lifetime $5 million limit for making tax-free gifts. That can be done by writing a letter to the lender stating that the money is a gift, said Kieffer, the Danville Realtor. Otherwise, the lender will look at the down payment as a loan that has to repaid, which could make it harder for the child to get financing. Get the latest news, information and tips from an online community you can trust. You just have to credit us and link to us, and you can't edit our material or sell it separately. If you're republishing online, you have to include all links. Realtors