More First-Time Home Buyers Are Turning to the Bank of Mom and Dad

Among borrowers using FHA loans, which come with low down payments, more than 26% tap relatives for financial help. That’s up from 22% in 2011.

Ben Eisen

Jan. 4, 2019 5:30 a.m. ET

Rising home prices are sending first-time buyers to their parents for help with mortgage down payments.

More than 26% of mortgage borrowers who used Federal Housing Administration-insured loans got assistance from a relative to make the down payment in the 12 months through September, up from about 22% in 2011, according to data released late last year as part of the agency’s annual report.

The...