The Fifty-something's Dilemma: Children Need Help, You Don't Want to Risk
You're 50-55 years old, paying off the last years of your mortgage or already living "in your own." Your children (25-35) are trying to get their first housing at a time when property prices have risen dramatically. You want to help — but you don't want to put a lien on the apartment where you plan to live out your days.
"My son needs €50,000 for a down payment. I have an apartment worth €160,000, but I don't want a mortgage on it. What if I can't make the payments?"
This is a legitimate concern. Let's look at all the options, their risks, and when each makes sense.
Why 50-somethings Hesitate with Mortgage Liens
A mortgage lien means:
- Risk of losing housing: If you can't make payments, the bank sells your apartment
- Monthly payments: Reduced living standard by €300-600/month
- Age restrictions: Banks rarely give mortgages to 55+ (repayment must end by 65-70)
- Interest rate risk: Fixed rate ends, rates can rise
- Psychological burden: Debt at older age = stress
However, there are alternatives without mortgage liens. Let's compare them.
5 Ways to Help Your Children
Option 1: Consumer Loan (No Mortgage Lien)
How it works: You apply to the bank for an unsecured loan. The bank evaluates only your income.
| Parameter | Value |
|---|---|
| Maximum amount | €25,000 - €40,000 |
| Interest rate | 8-10% p.a. |
| Term | max. 8 years |
| Monthly payment (€30,000 / 8 years) | ~€450 |
| Total overpayment | ~€13,000 |
Best for: If you need a smaller amount (up to €30,000) and have stable income over €1,500 net.
Rating: ⭐⭐⭐ — Fast but expensive. Suitable for smaller amounts.
Option 2: Sell a Share of the Apartment to Children
How it works: You sell part of the apartment (e.g., 1/4) to one child. You get cash, they get a share.
Best for: Families with a clear heir, where one child will "take over" the apartment.
Risks: Complicated inheritance (other children may object), legal costs, you need their consent for dispositions.
Rating: ⭐⭐ — Complex legal and family relationships.
Option 3: Reverse Mortgage (With Lien)
Important: In Slovakia and Czech Republic, reverse mortgages are not available. They're not regulated in legislation and no bank offers them. This product exists in the USA, UK, and some Western European countries.
Rating: ❌ — Not available in Central Europe.
Option 4: Sell and Move to Smaller Apartment
How it works: You sell your current apartment, buy a smaller/cheaper one, give the difference to children.
Best for: If a smaller apartment suits you and you don't need the space.
Rating: ⭐⭐⭐ — Works, but requires major life change.
Option 5: HomeGrif — Sale with Lifetime Residence (NO Mortgage Lien)
How it works:
- You sell the apartment to HomeGrif (or investors through HomeGrif)
- You receive a lump sum + monthly rent
- You stay living there for life (usufruct in land registry)
- You give part of the lump sum to children
Key difference: It's not a loan. It's a sale. You have no debt, no lien, you can't lose your housing.
| Parameter | Value |
|---|---|
| Age | 50+ (optimal 60-75) |
| Lump sum | 20-35% of property value |
| Monthly rent | €300-800/month (based on age and value) |
| Mortgage lien | NO |
| Right to live | Lifetime (usufruct in registry) |
Comparison of All Options
| Criterion | Consumer Loan | Share Sale | Reverse Mortgage | Sell + Smaller | HomeGrif |
|---|---|---|---|---|---|
| Mortgage lien | ❌ No | ❌ No | ⚠️ N/A | ❌ No | ❌ No |
| Stay in home | ✅ Yes | ✅ Yes | — | ⚠️ Elsewhere | ✅ Yes |
| Monthly payments | ⚠️ High | ❌ No | — | ❌ No | ❌ No (you receive) |
| Max for children | €30-40k | €40-60k | — | €30-50k | €30-50k |
Our Recommendation: HomeGrif
If you want to stay living in your home, without debt, with regular extra income:
→ HomeGrif — sale with lifetime residence. Lump sum for children + rent for you.
→ Calculate your rent estimate