For many parents and grandparents, it can be difficult to watch younger family members struggle to buy their first home in today’s market. You may remember how homeownership created stability in your own life while also building long term wealth. Naturally, you want your children or grandchildren to have those same opportunities.

While affordability has been challenging in recent years, conditions are slowly improving. What many homeowners may not realize is that the equity built in their current home could open the door for the next generation.

At Don Reid Properties, we see this conversation happening more often across Richmond, Chesterfield, Henrico and the surrounding areas as families explore creative ways to make homeownership possible.

The Equity Advantage You May Not Be Thinking About

If you have owned your home for several years or even decades, two important things have likely happened:

• Home values have increased

• Your mortgage balance has decreased or been fully paid off

This combination has created significant equity for many homeowners.

Equity is often viewed strictly as a retirement asset. However, it can also be used strategically to help younger family members overcome one of the biggest barriers to buying a home today: upfront costs.

The Biggest Challenge for Younger Buyers

According to John Burns Research and Consulting, many renters say the primary obstacle to buying is not mortgage rates or even home prices. The biggest challenge is saving enough for a down payment.

See graph below:

This is where home equity can make a meaningful difference. While market conditions cannot be controlled, families may be able to use a portion of their equity to assist with upfront costs.

Even a modest financial gift can help position a buyer to purchase sooner while still allowing homeowners to preserve equity for their future plans.

Over the next two decades, an estimated $68 trillion to $84 trillion in wealth is expected to transfer from older generations to younger ones. Many families are beginning to explore whether part of that transfer should happen earlier to create opportunities now.

Family Support Is Already Helping Many First Time Buyers

Financial support from family members is becoming more common. According to the National Association of Realtors, nearly one in five first time buyers use a cash gift from a relative or loved one to help with their down payment.

Other buyers are using inheritance funds or structured family loans to enter the market.

See charts below:

This trend highlights a growing shift in how families approach wealth and homeownership planning.

This Is About Opportunity, Not Obligation

Every family’s financial situation is different, and any decision about using home equity should be made thoughtfully. The goal is not pressure. The goal is awareness.

If you have built substantial equity, you may have more flexibility than you realize.

Helping a younger family member purchase a home is not just a financial contribution. It can provide:

• Long term stability

• Wealth building potential

• A stronger financial foundation for future generations

What This Means in Today’s Richmond Area Market

Across Richmond, Chesterfield, Henrico and the surrounding areas, many families are exploring ways to combine smart financial planning with current market opportunities.

Local pricing strategies, loan options, and timing can all impact how equity is used effectively. This is where professional guidance becomes especially important.

Bottom Line

If you are curious about how much equity you have or how it could help your family create new opportunities, a local strategy matters.

At Don Reid Properties, we help homeowners understand their options and make confident decisions based on real market data.

Whether you are planning for retirement, considering a move, or exploring ways to support the next generation, let’s start with a simple conversation.