How much per month can my husband and I contribute to my parents house mortgage and utilities before it's considered rent? They are work at home small business owners.

[makayla]

My parents, husband and I will be purchasing a property together. Since my husband and I are students, my parents will provide most of the initial downpayment and obtain the mortgage.

After our purchase we'd like to pay them back in monthly installments. For one of these installments, the amount would include half the mortgage payment for that month, half the utility cost for the month and a specific pre-agreed amount towards paying off half the initial downpayment (no interest or anything).

So I'd like to know how much we can give them monthly before it's considered rental income.

Thanks!

[Delphision · Accepted solution]

As long as your payments follow your list above, it is cost sharing and reimbursement rather than rent.  As long as there is no actual profit being made, there should be no problem.