Articles From the Team
Bank of Mom and Dad
The residential property market has seen its fair share of movement over the last decade. I am sure we have all had those anxious conversations with clients and candidates about how they feared brexit may or may not affect their firm or business within the market place. Or if now is the right move for them; Should they wait? Should they sit tight? Will instructions slow down due to buyers playing caution with their savings? It's been a whirlwind few months. Yet it seems we have a unsuspecting saviour that is generously helping to keep the property market afloat...
This saviour goes by the name of 'BOMAD'. I can hear you thinking, 'BOMAD' what's she rambling on about? I'm referring to the bank of Mom and Dad.
This nickname has been given to the increasing practice of parents supporting their children's homeownership and it is suspected that the bank of Mom and Dad will be involved in a quarter of all mortgages this year in the UK, that's a huge one in four transactions, the equivalent of lending nearly £5 Billion! The average transaction from 'BOMAD' to child is thought to be around £17,500! Most families are contributing more than half of their net wealth towards a child's house purchase. Parents are even being known to offer other children the initial deposit offering as an alternative means of investment.
Considering this statistically, 'BOMAD' is the equivalent of the 10th biggest mortgage lender in the country and helping to fund young first time buyers to complete on a average of 300,000 transactions in the UK in 2016.
If you wish to join the conversation and give your thoughts on how you feel residential property is moving within the legal recruitment market, please do not hesitate to get in touch with Grace Homer at BCL Legal to discuss this topic and also explore what great residential conveyancing roles this opens up for Licensed Conveyancers and Residential Property Fee Earners across Birmingham and the West Midlands.
Grace is working with numerous high profile legal 500 law firm and highly regarded regional firms who are experiencing growth and wish to recruit and explains their residential conveyancing offering nationwide.