EFFECT OF FINANCIAL ABILITY OF FIRST-TIME HOME BUYERS ON HOUSE PRICES WITH PARENTAL FINANCIAL ASSISTANCE

The house is one of the primary needs. Buying a home is one of the important decisions in a household because it has a large value and is the biggest value in a familys asset portfolio. But financial limitations become one of the obstacles in a family to buy a house. Therefore the need for financial assistance from parents for the first time buying a home for their children. So this study aims to determine the involvement of parents in the process of funding their first-time home purchase and how much influence the financial assistance of parents to their children in first-time buying a home. The results of this study indicate that parents are involved in first-time home purchases for their children according to their income and the form of assistance provided. From 212 respondents, the majority of which is as much as 72.2% of parents involved in the first-time home funding process for their children. The average contribution of parents financial assistance was 44.4% of the price of the house.