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Old 09-20-2022, 12:50 PM
 
2,710 posts, read 1,733,872 times
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Quote:
Originally Posted by msRB311 View Post
It is interesting to hear other people's situations and how they afford what they do. I think there's more parents giving kids down payments towards homes around here than we realize. Where someone's kids live has a lot of reflection on the parents i guess lol.
When we moved in, the first thing a neighbor asked was if it was our house or if our parents paid for it. I was offended. We are financially independent since age 18 and we also help out my in-laws with money.
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Old 09-20-2022, 12:53 PM
 
1,540 posts, read 1,125,554 times
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Quote:
Originally Posted by aboucher33 View Post
I have coworkers whose parents bought them their house and another who temporarily liquidated savings so their kid could make an "all cash" offer. After it closed they did delayed financing and repaid them with the loan proceeds. They have told me to ask my parents to do something similar. My parents can't....
There are companies who will front the cash for you to make an all-cash offer.
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Old 09-20-2022, 12:55 PM
 
2,352 posts, read 1,780,522 times
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Quote:
Originally Posted by simplexsimon View Post
There are companies who will front the cash for you to make an all-cash offer.
Loan Sharks?
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Old 09-20-2022, 12:56 PM
 
16,396 posts, read 8,198,277 times
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Quote:
Originally Posted by matrix5k View Post
When we moved in, the first thing a neighbor asked was if it was our house or if our parents paid for it. I was offended. We are financially independent since age 18 and we also help out my in-laws with money.
I have a friend/acquaintance from hingham who also owns a house right near the beach in chatham. I assumed the cape house was his parents lol. He was like, NO it's mine. He is in his early 40's and i was like wow, you have a 3 million dollar house in hingham and a 2 million dollar house in chatham...and no one helped you. Good for you.
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Old 09-20-2022, 12:56 PM
 
Location: NYC/Boston/Fairfield CT
1,853 posts, read 1,955,639 times
Reputation: 1624
Quote:
Originally Posted by msRB311 View Post
I can recall years ago not thinking it wasn't that a big deal if someone got a house in an inheritance or through their parents. If it wasn't that nice of a house who cares? Big deal that you got a 3 bedroom house in canton or Quincy. I realize NOW how nice it must be to be gifted a house.
I don't have any kids, but when I do -- I am buying each one of them a house when they are born. I'll rent it out until they are 21 years old and hand over the keys at that time. My goal would be to pay off the mortgage on those properties by the time they turn 21. They can then choose to live in that house, rent it out or sell it (as long as they use the proceeds to buy more property). If my wife and I have done our jobs right, then those kids will have a nice little nest egg to work with. This is in addition to their college savings plans, inheritance, etc.
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Old 09-20-2022, 12:58 PM
 
3,620 posts, read 1,844,995 times
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Quote:
Originally Posted by aboucher33 View Post
I have coworkers whose parents bought them their house and another who temporarily liquidated savings so their kid could make an "all cash" offer. After it closed they did delayed financing and repaid them with the loan proceeds. They have told me to ask my parents to do something similar. My parents can't....
It's amazing to be able to get a house that's already half paid for (as in this $800K/parent contributor example posted above) or better yet, to get one totally paid for. However, it is a blessing and a curse. Makes you wonder if these couples will ever really know the value of a dollar and should they be faced with a hardship at some point down the line would they be able to dig themselves out or they'd need to still rely on mommy and daddy? While I haven't been lucky enough to have my parents handout $400K toward a house, I have been lucky enough to own multiple properties over the course of the last 9 years that I've purchased solely on my own. At least I can say I know the value of a dollar and that I sustain my lifestyle without outside contributions. However, if someone ever wanted to handover $400K I wouldn't decline it!
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Old 09-20-2022, 12:59 PM
 
16,396 posts, read 8,198,277 times
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Quote:
Originally Posted by New Englander View Post
I don't have any kids, but when I do -- I am buying each one of them a house when they are born. I'll rent it out until they are 21 years old and hand over the keys at that time. My goal would be to pay off the mortgage on those properties by the time they turn 21. They can then choose to live in that house, rent it out or sell it (as long as they use the proceeds to buy more property). If my wife and I have done our jobs right, then those kids will have a nice little nest egg to work with. This is in addition to their college savings plans, inheritance, etc.
well you must be very well off to be able to buy two homes right now in this market...assuming you have one for yourself too.
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Old 09-20-2022, 01:02 PM
 
16,396 posts, read 8,198,277 times
Reputation: 11378
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Quote:
Originally Posted by newenglandgal123 View Post
It's amazing to be able to get a house that's already half paid for (as in this $800K/parent contributor example posted above) or better yet, to get one totally paid for. However, it is a blessing and a curse. Makes you wonder if these couples will ever really know the value of a dollar and should they be faced with a hardship at some point down the line would they be able to dig themselves out or they'd need to still rely on mommy and daddy? While I haven't been lucky enough to have my parents handout $400K toward a house, I have been lucky enough to own multiple properties over the course of the last 9 years that I've purchased solely on my own. At least I can say I know the value of a dollar and that I sustain my lifestyle without outside contributions. However, if someone ever wanted to handover $400K I wouldn't decline it!
Some people just have ridiculous amount of money. Perhaps their parents left it to them? Generational wealth can be powerful and it's a cycle that repeats if done right. I'm sure there are many people around here who would not have been able to buy a home in certain areas today without help from their parents.
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Old 09-20-2022, 01:04 PM
 
1,540 posts, read 1,125,554 times
Reputation: 734
Quote:
Originally Posted by yesmaybe View Post
Loan Sharks?
Not quite. Something like this: https://better.com/content/better-cash-offer-faq/

Local companies offer something similar from what I've heard. The rub is you need to use them to get the mortgage otherwise pay something like a 1% fee.
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Old 09-20-2022, 01:26 PM
 
Location: Needham, MA
8,545 posts, read 14,025,464 times
Reputation: 7939
Quote:
Originally Posted by simplexsimon View Post
Not quite. Something like this: https://better.com/content/better-cash-offer-faq/

Local companies offer something similar from what I've heard. The rub is you need to use them to get the mortgage otherwise pay something like a 1% fee.
I've looked into a bunch of these programs because not being all cash over the last year was a roadblock for a some of my clients. They're all either garbage or really expensive and garbage. If you look into the details of these programs the buyer is still shouldering about the same amount of risk as if they just put in an offer without a financing contingency.
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