More first home buyers tap into ‘bank of mum and dad’: Finder

Yasmine Raso

Senior Journalist, Financial Newswire

25 June 2025

New research from online comparison site, Finder, has found the number of Australian first home buyers relying on the “unofficial” lending capacity of their parents has risen by six per cent in the last three years.

Finder’s First Home Buyer Report for 2025 found 17 per cent of 1,006 Australian first home buyers surveyed had accessed the ‘bank of mum and dad’ to assist with saving for a deposit in 2025, up from 11 per cent in 2022.

Of those who did receive financial assistance from their parents, 41 per cent had more money in savings after buying their first home; 40 per cent of those who did not have financial support from their family took five years or more to save a deposit, while this was only applicable to 29 per cent who had received support.

“The bank of mum and dad has become one of the biggest unofficial lenders in the country,” Sarah Megginson, personal finance expert at Finder, said.

“For many young Australians, homeownership feels like a dream that won’t be realised, unless you’ve got parents who can tip in some financial help – sometimes up to six figures. First home buyers with parental help aren’t just getting in earlier – they’re getting in stronger, with more savings, bigger budgets, and a huge head start.

“Supporting your kids is part and parcel of being a parent, but you need to do it in a way that’s sustainable for everyone. The worst-case scenario is if mum and dad leave themselves vulnerable in the process of trying to help their kids.

“I’ve heard of parents who end up working longer than they planned, delaying retirement or leaving themselves financially short once they retire, because they were too generous when giving their kids a financial leg-up.”