Aspiring first home buyers moving back in with parents to save
A St.George study has found more than a third of first home buyers turn to family or friends to help them achieve their property ambitions.
According to the St.George Home Buying Survey, 2.2 million Australians are planning to purchase their first home within the next five years. Of those planning to buy, 15% said they live with their parents to help them save, while 25% of those who bought within the last two years said they lived with their parents.
Living with parents presents challenges for prospective home buyers, the survey found. 56% of respondents said they had experienced an awkward or funny situation as a result of living with their parents as an adult, while 40% said they had been caught in embarrassing or “socially sensitive” situations.
“Buying a home is no easy feat, and saving for a deposit in the current market can be difficult, so it’s no surprise that buyers are making sacrifices in order to help them save, including moving back in with parents,” St.George general manager for retail banking Ross Miller said.
While parents faced their own challenges, 79% said they would be willing to make sacrifices or compromises to help their children purchase a property. 42% said they would allow their adult children to live with them, while 20% said they would forego luxuries and 15% said they would be willing to live a less comfortable life.