How Your Edmonds Home Equity Could Help the Next Generation Buy a Home

If you’ve owned your home in Edmonds for many years, you’ve likely built more equity than you realize.

And while you may think of that equity as part of your retirement security, it could also create opportunity for someone you love.

For many parents and grandparents, watching a child or grandchild struggle to buy their first home today can feel frustrating. You remember what homeownership did for you — stability, long-term wealth, and financial confidence. Naturally, you want that same foundation for the next generation.

What you may not realize is that rising home values in Edmonds have quietly positioned many longtime homeowners to help in meaningful ways.

The Equity Advantage Longtime Homeowners Have

If you’ve lived in Edmonds for a decade or more, two important things have likely happened:

Your home’s value increased
Your mortgage balance decreased — or was paid off entirely

That combination has created significant equity for many homeowners in our local market.

And for those considering downsizing, simplifying, or planning the next chapter, that equity represents flexibility.

It’s not just wealth on paper — it’s options.

The Biggest Barrier for First-Time Buyers

When John Burns Research & Consulting (JBREC) asked renters what’s holding them back from buying, the top answer wasn’t mortgage rates.

It was the upfront cost — especially saving for a down payment (see graph below):

In a strong market like Edmonds, that initial hurdle can delay homeownership for years.

You can’t control interest rates or housing supply. But if you’ve built substantial equity, you may be able to help with the one factor that matters most: the cash needed to get started.

Even a portion of your equity could:

Help them qualify sooner
Strengthen their offer
Reduce their monthly payment
Eliminate mortgage insurance

All while you maintain a comfortable financial cushion.

Many Families Are Choosing to Help Sooner

Financial experts estimate that tens of trillions of dollars will transfer from older generations to younger ones over the next two decades.

Instead of waiting, some families are asking:

“Would it make more impact to help now?”

Helping a loved one purchase a home today allows them to begin building equity immediately — just as you did. Over time, that head start can dramatically change their financial trajectory.

Family Support Is Becoming More Common

According to the National Association of Realtors (NAR), nearly 1 in 5 first-time buyers use a gift from a family member to help fund their down payment.

Others use inheritance funds or private family loans (see charts below):

In competitive markets like Edmonds, family support is often what makes the difference between continuing to rent and becoming a homeowner.

This isn’t unusual anymore. It’s increasingly part of how the next generation enters the market.

Using Equity Strategically

If you’re exploring this idea, possible approaches may include:

A cash-out refinance
A home equity line of credit (HELOC)
Downsizing and reallocating proceeds
Gifting a portion of appreciation you’ve already built

For many equity-rich homeowners in Edmonds, downsizing can accomplish two goals at once:

Simplify your lifestyle
Unlock equity to support family — while strengthening your own financial plan

Before making any decisions, it’s important to:

Understand your home’s current value
Review your loan-to-value position
Speak with a financial advisor
Consider long-term retirement planning

This is about making thoughtful choices — not emotional ones.

This Is About Legacy, Not Obligation

Every family situation is different.

But if you’ve built significant equity over the years, you may have more flexibility than you think.

Helping a child or grandchild buy a home isn’t just a financial gift.

It can provide:

Stability
Confidence
Long-term wealth building
A meaningful legacy you can witness

For many homeowners, that feels like a powerful use of hard-earned equity.

Bottom Line

If you’ve owned your home in Edmonds for years, your equity may represent more opportunity than you realize — for you and for the next generation.

Whether you’re considering downsizing, simplifying, or exploring how your home’s value fits into your long-term plan, it starts with understanding where you stand today.

If you’d like a personalized home value and equity review, I’m happy to have that conversation with you.

Sometimes the most meaningful investment you make isn’t just for yourself — it’s for the future of your family.

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