Reason to smile: Dads helping daughters into the property market, agent says
Parents are closing the Bank of Mum and Dad to cash gifts and guarantor loans, instead paying for buyers’ agents to help first-home buyers compete in a brutal market.
The shift is being driven by families looking for ways to support their children into home ownership without taking on the financial exposure that comes with signing onto a loan or handing over large sums upfront.
Real Estate Buyers Agent Association of Australia (REBAA) president Melinda Jennison said there had been a steady rise in first-home buyers whose parents were choosing to fund professional representation.
REBAA president Melinda Jennison. Pic: Supplied
“It’s a shift that reflects a broader move toward more strategic forms of intergenerational support in a market where competition, complexity and price pressure remain high,” Ms Jennison said.
“Parents are looking for ways to help without taking on the exposure that comes with going guarantor or providing large cash gifts. For many, covering a buyers’ agent’s fee feels like a practical, upfront investment that gives their children expert guidance from the very start.”
Ms Jennison said it signalled a broader change in how parents were thinking about helping the next generation into home ownership.
“Instead of stepping in with cash or loan guarantees, parents are choosing to invest in expertise that helps their children buy well from day one,” she said.
“It’s a more sustainable, lower-risk way to support first-home buyers in challenging markets around the nation.”
Parents are finding new ways to help without putting the family home on the line
The trend was particularly noticeable among fathers supporting their daughters, who wanted reassurance their children had someone in their corner.
“They want their daughters to have someone in their corner — someone who can negotiate hard, spot red flags, and ensure they’re not overpaying, especially in hot markets,” she said.
With stock levels tight and demand still elevated, Ms Jennison said buyers’ agents were also unlocking off-market and pre-market opportunities for first-home buyers who might otherwise be outpaced by more experienced homebuyers and investors.
“Parents also want their children to avoid costly mistakes, such as rushing into unsuitable or poor performing properties because of the demand and supply imbalance in many markets,” she said.
“They see professional support as one way to protect them from making emotional decisions — especially at auction.”
Brisbane’s rising property market means funding a deposit is out of reach for many families
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Ms Jennison said parents were increasingly aware of the advantages buyers’ agents could deliver, including sharper negotiation, better contract terms, and access to properties that never reach public advertising.
“Professional negotiators often achieve stronger outcomes, including lower purchase prices, better contract terms, as well as access to properties that never reach public advertising or listing portals,” she said.
“The savings achieved through skilled negotiation can, in many cases, offset the cost of the buyers’ agent fee.”
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