{"id":104423,"date":"2026-02-13T05:16:38","date_gmt":"2026-02-13T13:16:38","guid":{"rendered":"https:\/\/www.redfin.com\/blog\/?p=104423"},"modified":"2026-02-13T06:18:21","modified_gmt":"2026-02-13T14:18:21","slug":"buying-house-from-parents","status":"publish","type":"post","link":"https:\/\/www.redfin.com\/blog\/buying-house-from-parents\/","title":{"rendered":"How to Buy Your Parents&#8217; House: Steps, Tax Rules, and Gifts of Equity"},"content":{"rendered":"<h3><span style=\"font-weight: 400;\">Key takeaways:<\/span><\/h3>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Buying from your parents is legal but comes with extra lender requirements.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">A gift of equity can lower upfront costs, but you may still need cash to close.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Short-term savings can come with long-term tax and estate tradeoffs.<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">Buying a house from your parents, whether it\u2019s a family <\/span><a href=\"https:\/\/www.redfin.com\/city\/17887\/WA\/Tacoma\" data-wpel-link=\"exclude\"><span style=\"font-weight: 400;\">home in Tacoma<\/span><\/a><span style=\"font-weight: 400;\"> or a vacation <\/span><a href=\"https:\/\/www.redfin.com\/city\/17150\/UT\/Salt-Lake-City\" data-wpel-link=\"exclude\"><span style=\"font-weight: 400;\">property in Salt Lake City<\/span><\/a><span style=\"font-weight: 400;\">, is a strategic way to keep real estate in the family while building long-term wealth. However, these transactions are legally classified as non-arm\u2019s-length sales, which makes lender scrutiny and tax rules more important than in a typical home purchase.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">By leveraging a gift of equity, many buyers can purchase their parents&#8217; home with zero down payment and avoid private mortgage insurance (PMI). To ensure a smooth transfer, it\u2019s important to balance family dynamics with formal requirements like appraisals, contracts, and tax filings.<\/span><\/p>\n<h2><img fetchpriority=\"high\" decoding=\"async\" class=\"alignnone size-full wp-image-104505\" src=\"https:\/\/www.redfin.com\/blog\/wp-content\/uploads\/2025\/08\/shutterstock_1784769926-scaled.jpg\" alt=\"buying your parents house\" width=\"2560\" height=\"1708\" srcset=\"https:\/\/www.redfin.com\/blog\/wp-content\/uploads\/2025\/08\/shutterstock_1784769926-scaled.jpg 1799w, https:\/\/www.redfin.com\/blog\/wp-content\/uploads\/2025\/08\/shutterstock_1784769926-300x200.jpg 300w, https:\/\/www.redfin.com\/blog\/wp-content\/uploads\/2025\/08\/shutterstock_1784769926-1024x683.jpg 1024w, https:\/\/www.redfin.com\/blog\/wp-content\/uploads\/2025\/08\/shutterstock_1784769926-768x512.jpg 768w, https:\/\/www.redfin.com\/blog\/wp-content\/uploads\/2025\/08\/shutterstock_1784769926-1536x1025.jpg 1536w, https:\/\/www.redfin.com\/blog\/wp-content\/uploads\/2025\/08\/shutterstock_1784769926-225x150.jpg 225w, https:\/\/www.redfin.com\/blog\/wp-content\/uploads\/2025\/08\/shutterstock_1784769926-944x630.jpg 944w, https:\/\/www.redfin.com\/blog\/wp-content\/uploads\/2025\/08\/shutterstock_1784769926-450x300.jpg 450w\" sizes=\"(max-width: 2560px) 100vw, 2560px\" \/><\/h2>\n<h2><span style=\"font-weight: 400;\">Can I buy my parents house?<\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Yes, you can legally buy your parents&#8217; house. There are no laws preventing real estate sales between family members. However, because of the existing relationship between buyer and seller, lenders classify these deals as non-arm\u2019s-length transactions.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Lenders are more cautious with these deals to prevent\u00a0 mortgage fraud or equity skimming. To get approved, you will likely need:<\/span><\/p>\n<ol>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">A <\/span><a href=\"https:\/\/www.redfin.com\/blog\/home-appraisal\/\" data-wpel-link=\"exclude\"><span style=\"font-weight: 400;\">professional appraisal<\/span><\/a><span style=\"font-weight: 400;\"> to verify the Fair Market Value (FMV).<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">A formal <\/span><a href=\"https:\/\/www.redfin.com\/blog\/what-is-a-purchase-and-sale-agreement\/\" data-wpel-link=\"exclude\"><span style=\"font-weight: 400;\">purchase agreement<\/span><\/a><span style=\"font-weight: 400;\"> (even if you aren&#8217;t using a real estate agent).<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Clear documentation showing that any below-market price is a legitimate gift of equity.<\/span><\/li>\n<\/ol>\n<h3><span style=\"font-weight: 400;\">Why buy a house from your parents?<\/span><\/h3>\n<p><span style=\"font-weight: 400;\">Beyond the sentimental value of staying in your childhood home, there are significant financial and practical advantages:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>No bidding wars:<\/b><span style=\"font-weight: 400;\"> You skip the stress of a competitive market and negotiate directly with people you trust.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><a href=\"https:\/\/www.redfin.com\/blog\/mortgage-down-payment-gift-rules\/\" data-wpel-link=\"exclude\"><b>Gift of equity as a down payment<\/b><\/a><b>:<\/b><span style=\"font-weight: 400;\"> This is the biggest &#8220;hack&#8221; in family sales. If the home is worth $400,000 and your parents sell it to you for $320,000, that $80,000 difference can be used as your 20% down payment, often allowing you to buy with $0 out of pocket.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Knowledge of home history:<\/b><span style=\"font-weight: 400;\"> You already know about that leaky faucet or the 10-year-old roof, reducing the &#8220;hidden costs&#8221; that come with buying from strangers.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Flexible closing timelines:<\/b><span style=\"font-weight: 400;\"> Families can often coordinate moving dates more easily than traditional buyers and sellers.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Strategic estate planning:<\/b><span style=\"font-weight: 400;\"> Selling the home to a child can help parents downsize while liquidating assets for retirement or simplifying their future estate.<\/span><\/li>\n<\/ul>\n<h2><span style=\"font-weight: 400;\">How to buy a house from your parents<\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Even though this is a family transaction, it should still follow the same key steps as a standard home purchase to protect both sides. Here\u2019s how the process typically works:<\/span><\/p>\n<h3><span style=\"font-weight: 400;\">1. Set the price and consider a gift of equity (if applicable)\u00a0<\/span><\/h3>\n<p><span style=\"font-weight: 400;\">Start by agreeing on a purchase price with your parents. Many families use a<\/span><a href=\"https:\/\/www.redfin.com\/blog\/mortgage-down-payment-gift-rules\/\" data-wpel-link=\"exclude\"> <i><span style=\"font-weight: 400;\">gift of equity<\/span><\/i><\/a><span style=\"font-weight: 400;\">, where parents sell the home below its appraised market value and count the difference as part of your down payment. In many cases, if the gift of equity is large enough, it may cover all or part of the required down payment and, in some cases, reduce or eliminate the need for private mortgage insurance (PMI). However, buyers may still be responsible for closing costs or prepaid expenses, depending on the lender and loan program. A lender-approved appraisal is required to confirm the home\u2019s value and determine how much equity can be applied.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">&#8220;When considering whether to buy your parents&#8217; home, key financial questions often arise,&#8221; adds<\/span><a href=\"https:\/\/advisorfinder.com\/\" data-wpel-link=\"external\" target=\"_blank\" rel=\"external noopener noreferrer\"> <span style=\"font-weight: 400;\">AdvisorFinder<\/span><\/a><span style=\"font-weight: 400;\">. &#8220;How does the gift of equity arrangements affect taxes? What are the estate planning implications? How should the sale price be structured? Financial advisors who specialize in real estate and estate planning can help you evaluate these interconnected decisions.&#8221;<\/span><\/p>\n<h3><span style=\"font-weight: 400;\">2. Get an independent appraisal and inspection<\/span><\/h3>\n<p><span style=\"font-weight: 400;\">Hire a professional<\/span><a href=\"https:\/\/www.redfin.com\/blog\/home-appraisal\/\" data-wpel-link=\"exclude\"> <span style=\"font-weight: 400;\">appraiser<\/span><\/a><span style=\"font-weight: 400;\"> to confirm the home\u2019s fair market value. Even if you grew up in the home, it\u2019s still important to get a professional inspection to uncover any potential issues that could affect the property\u2019s value or your loan approval.<\/span><\/p>\n<h3><span style=\"font-weight: 400;\">3. Work with a real estate attorney or financial advisor<\/span><\/h3>\n<p><span style=\"font-weight: 400;\">Buying from family is a non-arm\u2019s length transaction. Because of this, professional guidance can help prevent legal issues, lender delays, or IRS complications.<\/span><\/p>\n<p><b>Key Financial and legal considerations:<\/b><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Gift tax reporting:<\/b><span style=\"font-weight: 400;\"> Each parent can gift up to <\/span><a href=\"https:\/\/www.irs.gov\/faqs\/interest-dividends-other-types-of-income\/gifts-inheritances\/gifts-inheritances-1\" data-wpel-link=\"external\" target=\"_blank\" rel=\"external noopener noreferrer\"><span style=\"font-weight: 400;\">$19,000<\/span><\/a><span style=\"font-weight: 400;\"> annually in 2026 without reporting. Gifts above that amount require <\/span><a href=\"https:\/\/www.irs.gov\/forms-pubs\/about-form-709\" data-wpel-link=\"external\" target=\"_blank\" rel=\"external noopener noreferrer\"><span style=\"font-weight: 400;\">IRS Form 709<\/span><\/a><span style=\"font-weight: 400;\">.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Lifetime exemption:<\/b><span style=\"font-weight: 400;\"> Most parents won\u2019t owe gift taxes unless they exceed the $15 million lifetime exemption ($30 million for married couples).<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Fair Market Value (FMV):<\/b><span style=\"font-weight: 400;\"> You must establish a fair price via a professional appraisal. Selling too far below market value can trigger lender rejection or unwanted tax complications.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Capital gains and step-up:<\/b><span style=\"font-weight: 400;\"> Buying now means you inherit your parents\u2019 tax basis. Inheriting later could provide a step-up in basis, reducing future capital gains.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Estate and probate planning:<\/b><span style=\"font-weight: 400;\"> A completed sale removes the home from your parents&#8217; estate. However, you should ensure this aligns with their long-term care plans and doesn&#8217;t create inheritance imbalances with other siblings.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Medicaid look-back:<\/b><span style=\"font-weight: 400;\"> Selling below market value within five years of applying for Medicaid can result in penalties.<\/span><\/li>\n<\/ul>\n<h3><span style=\"font-weight: 400;\">4. Decide on financing or payment terms<\/span><\/h3>\n<p><a href=\"http:\/\/rocketmortgage.com\/learn\/mortgage-prequalification\" data-wpel-link=\"external\" target=\"_blank\" rel=\"external noopener noreferrer\"><span style=\"font-weight: 400;\">Apply for a mortgage<\/span><\/a><span style=\"font-weight: 400;\">, and disclose to our lender that\u00a0 it\u2019s a<\/span><a href=\"https:\/\/www.redfin.com\/blog\/selling-a-house-to-a-family-member\/\" data-wpel-link=\"exclude\"> <span style=\"font-weight: 400;\">family sale<\/span><\/a><span style=\"font-weight: 400;\">.. Lenders may require extra documentation to confirm the sale is legitimate.\u00a0<\/span><\/p>\n<p><b>Common financing approaches:<\/b><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Traditional mortgage <\/b><span style=\"font-weight: 400;\">The most common approach is to apply for a traditional mortgage. You\u2019ll go through the same approval process as any other buyer, but since this is a family sale (a \u201cnon\u2013arm\u2019s length\u201d transaction), lenders may ask for extra documentation to ensure the deal reflects fair market value.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Seller financing directly with parents: <\/b><span style=\"font-weight: 400;\">Instead of going through a bank, your parents may agree to finance the purchase themselves. In this setup, you make monthly payments directly to them based on agreed-upon terms. This option can offer flexibility but should always be formalized in writing to avoid misunderstandings.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Assuming an existing mortgage (if applicable): <\/b><span style=\"font-weight: 400;\">If your parents\u2019 mortgage is assumable, you may be able to take it over instead of getting a new loan. This can be beneficial if the existing loan has a lower interest rate, but not all mortgages allow assumption, and lender approval is required.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Paying cash: <\/b><span style=\"font-weight: 400;\">If you have the means to buy the home outright,<\/span><a href=\"https:\/\/www.redfin.com\/blog\/buying-home-with-cash\/\" data-wpel-link=\"exclude\"> <span style=\"font-weight: 400;\">paying cash<\/span><\/a><span style=\"font-weight: 400;\"> eliminates interest costs and speeds up the process. However, financing may be smarter if you want to preserve liquidity or take advantage of mortgage-related tax deductions.<\/span><\/li>\n<\/ul>\n<p><b>Ways to structure the purchase:<\/b><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Traditional home sale (at fair market value):<\/b><span style=\"font-weight: 400;\"> Treating the deal like any other transaction\u2014your parents sell at the appraised value, you secure financing, and ownership is transferred at closing. This avoids most tax complications but may be more expensive.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Below-market or symbolic sale:<\/b><span style=\"font-weight: 400;\"> Some families choose a price below market value or even a symbolic amount. The difference between the sale price and market value is considered a gift of equity, which can reduce upfront costs but may trigger <\/span><a href=\"https:\/\/www.irs.gov\/businesses\/small-businesses-self-employed\/frequently-asked-questions-on-gift-taxes\" data-wpel-link=\"external\" target=\"_blank\" rel=\"external noopener noreferrer\"><span style=\"font-weight: 400;\">gift tax<\/span><\/a><span style=\"font-weight: 400;\"> reporting.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Gifting all or part of the home:<\/b><span style=\"font-weight: 400;\"> Parents can transfer ownership as a full or partial gift. While this simplifies the process, it also has gift tax and inheritance implications that require review with a tax advisor.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Adding yourself to the deed or co-ownership:<\/b><span style=\"font-weight: 400;\"> Parents can add you as a co-owner, allowing a gradual transfer and aiding estate planning. However, this means sharing responsibility for the property until full ownership transfers.<\/span><\/li>\n<\/ul>\n<p><b>Tip:<\/b><span style=\"font-weight: 400;\"> Each of these methods comes with different tax, legal, and financial consequences, so it\u2019s best to consult with an attorney or tax professional before deciding which path is right for your family.<\/span><\/p>\n<h3><span style=\"font-weight: 400;\">5. Finalize the agreement and transfer ownership<\/span><\/h3>\n<p><span style=\"font-weight: 400;\">To move from a verbal agreement to legal ownership, you must first draft and sign a formal <\/span><a href=\"https:\/\/www.redfin.com\/blog\/what-is-a-purchase-and-sale-agreement\/\" data-wpel-link=\"exclude\"><span style=\"font-weight: 400;\">purchase agreement<\/span><\/a><span style=\"font-weight: 400;\"> with the help of a real estate attorney or agent. This contract is the foundation of the sale, detailing the final purchase price, the specific amount of any gift of equity, and a clear closing timeline to prevent future misunderstandings with the IRS or other family members. Once the contract is signed, the final stage involves clearing the title and officially transferring the deed. You will work with a title company to perform a comprehensive search, ensuring the home is free from old family debts, unknown liens, or boundary disputes that could threaten your ownership. On closing day, you will sign the final loan documents and the deed, which the title company then records with the county. To complete the process, you must update local tax and legal records, notify your insurance provider, and ensure your parents have the necessary documentation for their tax filings.<\/span><\/p>\n<h2><span style=\"font-weight: 400;\">Pros and cons of buying your parents house<\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Here are the advantages and disadvantages of buying a home from your parents.<\/span><\/p>\n<table>\n<tbody>\n<tr>\n<td><b>Feature<\/b><\/td>\n<td><b>Pros<\/b><\/td>\n<td><b>Cons<\/b><\/td>\n<\/tr>\n<tr>\n<td><b>Down payment<\/b><\/td>\n<td><span style=\"font-weight: 400;\">Gift of equity may cover all or part of the down payment.<\/span><\/td>\n<td><span style=\"font-weight: 400;\">If the home\u2019s appraised value is too low, lenders may require you to pay a cash down payment.<\/span><\/td>\n<\/tr>\n<tr>\n<td><b>Closing costs<\/b><\/td>\n<td><span style=\"font-weight: 400;\">Save money by skipping real estate agent commissions.<\/span><\/td>\n<td><span style=\"font-weight: 400;\">You still owe title fees, taxes, and recording costs.<\/span><\/td>\n<\/tr>\n<tr>\n<td><b>Tax basis<\/b><\/td>\n<td><span style=\"font-weight: 400;\">Lock in today&#8217;s price to start building equity now.<\/span><\/td>\n<td><span style=\"font-weight: 400;\">Lose step-up in basis for capital gains.<\/span><\/td>\n<\/tr>\n<tr>\n<td><b>IRS reporting<\/b><\/td>\n<td><span style=\"font-weight: 400;\">No actual tax owed for gifts under $15M lifetime.<\/span><\/td>\n<td><span style=\"font-weight: 400;\">Must file Form 709 for gifts over $19k\/person.<\/span><\/td>\n<\/tr>\n<tr>\n<td><b>Future care<\/b><\/td>\n<td><span style=\"font-weight: 400;\">Parents liquidate equity to fund their retirement.<\/span><\/td>\n<td><span style=\"font-weight: 400;\">Medicaid look-back penalties possible.<\/span><\/td>\n<\/tr>\n<tr>\n<td><b>Home quality<\/b><\/td>\n<td><span style=\"font-weight: 400;\">Direct knowledge of all past repairs and &#8220;quirks.&#8221;<\/span><\/td>\n<td><span style=\"font-weight: 400;\">No &#8220;arm&#8217;s length&#8221; protection if a major defect is missed.<\/span><\/td>\n<\/tr>\n<tr>\n<td><b>Family ties<\/b><\/td>\n<td><span style=\"font-weight: 400;\">Keeps the family home in trusted hands for decades.<\/span><\/td>\n<td><span style=\"font-weight: 400;\">Disputes may arise if heirs feel the sale price was unfair.<\/span><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p>&nbsp;<\/p>\n<h2><span style=\"font-weight: 400;\">Is buying your parents\u2019 house the right move?<\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Buying a home from your parents can make sense if you\u2019re trying to minimize upfront costs, avoid market competition, or keep a property in the family. A gift of equity can reduce the cash needed to buy, and you may already feel confident about the home\u2019s condition.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">That said, there are tradeoffs to consider. Purchasing now means giving up the potential tax advantages of inheriting the home later, and family sales come with added lender scrutiny and documentation requirements. There\u2019s also the emotional side: even with the best intentions, disagreements can arise if other heirs feel the terms weren\u2019t fair.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">For many families, the deal works best when it\u2019s treated like a standard transaction on paper\u2014even if it doesn\u2019t feel that way emotionally. Getting professional guidance can help preserve both financial clarity and family relationships.<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Can you buy your parents\u2019 house? Yes. Learn about tax limits ($19k), using a gift of equity for a $0 down payment, and avoiding capital gains taxes.<\/p>\n","protected":false},"author":585,"featured_media":104505,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"default","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","ast-disable-related-posts":"","theme-transparent-header-meta":"default","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"set","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"var(--ast-global-color-4)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"footnotes":""},"categories":[34276],"tags":[34529,34642],"coauthors":[34682],"class_list":["post-104423","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-buying-a-home","tag-buying-faq","tag-mortgage"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v24.7 (Yoast SEO v27.9) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Buying Your Parents&#039; House: Guide to Taxes &amp; Financing<\/title>\n<meta name=\"description\" content=\"Can you buy your parents\u2019 house? Yes. Learn about tax limits ($19k), using a gift of equity for a $0 down payment, and avoiding capital gains taxes.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.redfin.com\/blog\/buying-house-from-parents\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"How to Buy Your Parents&#039; House: Steps, Tax Rules, and Gifts of Equity\" \/>\n<meta property=\"og:description\" content=\"Can you buy your parents\u2019 house? Yes. 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