Escape the parent trap with Miller Homes

Miller Homes East Midlands is urging parents to consider taking advantage of lower house prices to help give their children a boost on to the property ladder.

In a recent report by Lloyds Banking Group it was mentioned that a fifth of parents give their children money to help them buy their first home, and that many are now given confidence to do so because of the current low interest rates on cash deposits.

With the reported rise in the number of young men and women either moving back to the family fold, or never leaving home in the first place, the award-winning housebuilder, which this year celebrates its 75th anniversary in housebuilding, is keen to highlight the potential benefits of parents opening up the ‘Bank of Mum & Dad’ to help children buy their first home.

Joy Goodman, sales director at Miller Homes East Midlands, explained: “With a deposit in place, thanks to Mum and Dad, it’s worth young buyers being aware of the added bonuses they could get from buying a two-bedroomed home rather than a one-bedroomed property, as despite what they may think, it could actually be better value for money.

“People may not realise that the Inland Revenue allows homeowners to earn £4,250 a year tax free when letting a furnished room in their own home. Taking that into consideration, the annual income earned from renting-out the second bedroom in a two-bedroom apartment would greatly outweigh any additional mortgage repayments incurred on that of a one-bedroomed home – plus, there’s the added social aspect too!

“We are aware that the recession has left many youngsters feeling less secure about their financial futures, but it is widely felt that property is still one of the best long term investments a person can make and with house prices currently so affordable, parents could really make a difference to their children’s futures by helping them with deposits now.

“This could be really a great opportunity for the younger generation to gain some confidence and bounce back from this recession, and all it would take is a bit of help from Mum and Dad.”

For more information about developments from Miller Homes East Midlands, visit millerhomes.co.uk/explore/eastmidlands.