With Terry Story, 25-year Veteran Real Estate Agent with Coldwell Banker in Boca Raton, FL
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In the U.S., about 15% of all home sales involve parents helping their children with the purchase of a home, in ways such as contributing to the down-payment or acting as co-signors on the loan. While this is great, especially for the kids, parents in such transactions must first set noble intentions aside and run the numbers to see how their actions will impact their own finances. For example, if parents are retired, there’s little sense in draining retirement accounts to help their child with a home purchase because the costs and risks are just too high. Instead, Terry gives us other practical and viable alternatives.
On the subject of finances and family, Terry also lays out tips on how to handle rental situations within family members such as a nephew renting from his aunt, to make sure there’s complete clarity on everything that is involved with renting a property. Don’t just rely on good faith and word of mouth.
Finally, Terry answers a listener’s question on how to spin a potentially bad situation involving a home sale to your advantage.