Down payments from parents have become a routine part of American homebuying. But financial advisers say the money rarely arrives without strings attached. Gift limits, mortgage paperwork, a parent's own retirement, and the running costs of a bigger home can all turn a well-meant cheque into a lasting source of friction.
The scale of the trend is now well documented. Twenty-two per cent of first-time buyers used a gift or loan from a friend or relative toward their down payment in the year to mid-2025, according to the National Association of Realtors' 2025 Profile of Home Buyers and Sellers. The typical first-time buyer is now 40 years old, a record high, as affordability pushes homeownership later into life for many Americans.
