30 percent of homes buyers last year needed help from parents

A new CIBC report claims that over the last 12-months, parents have paid around $10 billion to help their kids afford down payments.

This is up 10 percent over the last six years, but during the last year, the average parent-down-payment-gift went from $54,000 all the way up to $82,000. The report also looks at people who are moving up into larger homes, and it discovered that nine percent of that cohort is also receiving some help from ole mom and pop. The size of that gift is usually around $128,000, according to the report.

Specifically in Toronto, the average parental gift was $130,000 for first-time home buyers and $200,000 for people moving up into larger homes. IN Vancouver, the gifts average out at $180,000 and $340,000, respectively.

The report ends by mentioning that only some parents are taking on dept of their own to help their kids. However, it says that of the parents that are giving home buying gifts, only 5.5 percent of them accrue debt.

Source: CIBC 

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