I've seen the "Boomerang Generation" in more than a few headlines lately. These young adults return, or "boomerang," to their parents' homes as they attempt to navigate the property market.
The key culprit is mortgage rates nearing the 8 percent mark, providing a new hurdle for prospective homeowners. Additionally, escalating rents, substantial inflation, and high property prices make the path toward homeownership more challenging than in previous years.1
And given the above, potential homebuyers know they may need help. A recent survey shows that over half of potential homebuyers in the coming year have considered seeking their parents' aid and, in some cases, moving back home to save money. Although welcoming your children back home can be a loving way to help them achieve homeownership, it can also be a financially stressful event unless framed correctly.2
As your financial professional, my role extends beyond your portfolio to addressing these financial journeys and offering resources to smooth the way for everyone involved. I'm here to help structure conversations that may help your hopeful homebuyers explore options conducive to their future and your financial goals.
Let me know if you have any questions or would like to chat more about the resources available to you and your family.
1. Realtor.com, October 10, 2023