If you are a youngster and aspiring to purchase a house in the UK with financial help from your parents, this data should not surprise you because you are not alone! The ‘Bank of Mum & Dad’, is worth an estimated £103 billion in the UK, as more number of children continue to rely on their parents to climb up the housing ladder.
An in-depth study undertaken by international real estate adviser JLL in association with YouGov reveals that the ‘Bank of Mum & Dad’ could assist in the purchase of houses worth more than £1 trillion. The average hand out per child from the ‘Bank of Mum & Dad’ in London and South-Eastern England is £24,800 while the average ‘Bank of Mum & Dad’ pot is £55,300.
Interestingly, 70 per cent of the parents surveyed said that all monies passed down to the children to buy houses will be pure gift.
Approximately, 26 per cent of parents will use inheritance passed down to them to help their children onto the housing ladder. A staggering £1.77 trillion could be passed down in inheritance from families (5.2 million) households in London and South-Eastern England.
The data shows the pressure from the housing market on house-buyers, as parents continue to help their children through financial assistance to acquire homes in the UK.
JLL Residential Research shows the Bank of Mum & Dad in London and South Eastern England is worth an estimated £103 billion and could assist in the purchase of more than £1 trillion worth of homes in the UK.