Forty percent of US homeowners got help with their down payment in 2026.
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As the cost of housing in Greater Boston continues to rise — with the median sales price of a single-family home exceeding $1 million this spring, up from $989,500 last April, according to the Massachusetts Association of Realtors — more parents are stepping in to help their adult children buy homes. But while the bank of Mom and Dad can be invaluable to those who couldn’t otherwise achieve homeownership, tax professionals warn that there could be unintended consequences, as some gifts may trigger tax laws.
“Given the price of houses in Greater Boston, I see many parents contributing to down payments for their kids, especially first-time buyers, or even paying the whole amount for the house,” said Debby Belt, a senior associate at Hammond Residential Real Estate in Chestnut Hill. Belt said that in about half of her transactions, parents are contributing in some capacity to help their kids buy a home — and that she’s seen gifts up to $2 million…