.webp)
.webp)
COULD THE EQUITY IN YOUR HOME HELP THE NEXT GENERATION BUY THEIRS?
For many Beaches families, home is more than four walls. It's where the kids grew up, where weekends were spent at the beach, where friendships were formed. And where, one day, they hoped their children might build a life of their own.
Buying into the community you grew up in, though, isn't as simple as it once was.
If your kids are already renting, the money they hand over each month could be paying off a mortgage on a property of their own, the way Mum and Dad did it. And you may be able to help them get there without them saving a deposit, by answering the equity question.
It's no surprise the Bank of Mum and Dad has quietly become part of the conversation. But helping your kids buy doesn't have to mean handing over a large cheque. Parents may be able to contribute towards a deposit, provide a family loan, act as guarantor, or access equity built up in their own home. And that's where it gets more complicated.
THE EQUITY QUESTION
Equity is the difference between what your property is worth and what you still owe on it. For long-term Beaches homeowners, that difference can be substantial.
Depending on your circumstances, it may help fund a renovation, purchase an investment property, or give the next generation a hand into their first home.
That second option changed this year. Under legislation passed in June, investors buying an established property can no longer offset rental losses against their salary for property purchased after 12 May 2026. New builds are exempt, and anything already owned is unaffected. For some parents, that shifts whether equity is better used buying an investment property or helping a child into one.
Astute Manly's Sam Ayliffe says the starting point isn't how much you can access.
"The first question isn't what can you borrow, it's what you should borrow. And they're two very different numbers."
"The first question isn't what can you borrow, it's what you should borrow," Sam says. "And they're two very different numbers."
Using equity means taking on additional debt, so parents need to weigh what that means for their own repayments, lifestyle and longer-term plans. A decision made to help the kids today still needs to work for Mum and Dad a decade or two down the track.
MORE THAN MONEY
What happens if you help one child but have two more coming up behind them? Is the money a gift or a loan? What if a relationship ends, or parents need those funds back later?
They aren't always easy conversations, but having them before money changes hands saves plenty of confusion down the track.
For some families, acting as guarantor is the answer. For others, gifting or lending part of a deposit makes more sense.
Going guarantor is worth understanding properly. Rather than handing over cash, parents offer part of the equity in their own home as security against their child's loan. It can help the kids buy sooner, and often avoids Lenders Mortgage Insurance. It also means the parents are on the hook if repayments stop.
There isn't a one-size-fits-all answer.
A HAND UP, NOT A HANDOVER
Helping your children into the property market can be rewarding, particularly if it keeps family closer to home. But generosity shouldn't come at the cost of your own security.
Before making promises around deposits, guarantees or equity, Sam recommends looking at the bigger picture, both generations' financial positions, future plans, and what happens when life doesn't go to plan. Tax changes now flowing through the investment market are another reason to get advice specific to your situation, rather than relying on what worked for the last generation.
For Beaches families sitting on years of hard-earned equity, the family home may just help open the door to the next one.
COULD YOUR HOME HELP THEIRS?
If helping your kids into the market is on the family agenda, start with a conversation. Sam Ayliffe and the Astute Manly team can walk you through your options, from equity and lending to the bigger picture.
More Than Just A Broker!
Every Astute Manly loan† settled in 2026 goes in the draw to win $2,000 or an e-bike.
Disclaimer: Savings are estimates only and may vary due to interest rate changes, repayment type, frequency and loan balance. Calculator source: moneysmart.gov.au. Astute Financial Management Pty Ltd ACN 093 587 010 Australian Credit Licence 364253. Wealth and personal insurance services are provided by an authorised representative of Alliance Wealth Pty Ltd AFSL 499221. General insurance is provided by Astute Insurance Pty Ltd as an Authorised Representative of Ausure Pty Ltd AFSL 238433. Health insurance is underwritten by St Luke's Medical and Hospital Benefits Association trading as St.LukesHealth. Commissions may be received. *MFAA reported 3 March 2026 from December 2025 quarterly data (qrau.co/bUpBLt). † NSW Residents only. Minimum Mortgage $250,000, or car loans $25,000. Must be taken at Astute Manly. Must settle before 20th December 2026. Terms & Conditions apply.
