Did you know that the "bank of mum and dad" is now the 9th largest lender in the country?
With this option front and center, it's incredibly important to know how the whole process works and what kind of agreements first home buyers can enter into.
We're joined by Barry Frakes of Australian Family Lawyers as we uncover what needs to be discussed when it comes to borrowing from the bank of mum and dad, from setting up a good agreement, preventing family frictions in case something goes wrong, and what to do if it does happen.
If you enjoy the show, do like, rate, subscribe, and share it with others! We have loads of resources available and if you'd like to chat, email us at [email protected]!
We'll see you on the inside!
Episode Highlights:
1. What is "the bank of mum & dad" and what are the options? [02:52]
2. Veronica's personal " bank of mum & dad" story [04:12]
3. What to do before borrowing from the bank of mum & dad [06:12]
4. Preventing family frictions when borrowing from your parents [11:39]
5. Would your parents be the first mortgagee if they're listed as a lender? [14:50]
6. You need a great mortgage broker to help communicate with the bank [18:18]
7. Unclear terms of agreement causes family fallouts [22:39]
8. Form an exit strategy at the very beginning of the agreement [28:01]
9. What about going the co-ownership route? [32:04]
10. The risks of following the wrong advice [35:33]
11. Prenuptials are a good idea, but it's not absolutely essential [40:31]
12. How do you even begin to talk about borrowing from mum & dad? [43:22]
13. What does Barry know now that he wishes he knew at the start? [45:24]
Links from the show:
About Barry:
Barry Frakes leads Australian Family Lawyers' international strategy, leveraging his relationships and global experience to drive their growth as a premier family law firm for international family law matters and Heads our Asset Protect Division. His international focus includes the management of relationships with partner firms internationally including Stowe Family Law in the UK.
Barry is also the Governor (Asia Pacific Chapter) of the International Academy of Family Lawyers.
If you enjoyed today's podcast, don't forget to subscribe, rate and share the show! There's more to come, so we hope to have you along with us on this journey!
How ready are you to buy your first home?

Veronica Morgan & Meighan Wells 

Veronica & Meighan are both licensed real estate agents who exclusively help buyers. Together they have nearly 40 years experience as property professionals.

Veronica is principal of Sydney based Good Deeds Property Buyers and is also co-host of The Elephant in the Room property podcast as well as Location Location Location Australia on Foxtel and author of Auction Ready: how to buy property at auction even though you're scared s#!tless!

Meighan is the multi award winning principal of Brisbane based Property Pursuit, chairperson of the REIQ Buyers Agent Chapter & a regular media commentator.

We are here to guide you through your home buying journey

How ready are you to buy your first home?