Grandparents often find themselves in the conundrum of "How do I let my grandchildren suffer our children's mistakes?" Every person makes mistakes. You would think that having to weather horrible hardships would be the worst thing for your grandchildren. I assure you it is not. Children who never have to weather a hardship have no idea how to survive and they do not realize the consequences of bad decisions. I'm assuming your children could sell their home and find a more reasonable place to live. It may be time to stop helping them and suggest to them that they are intelligent and can obviously sell their home and find an affordable alternative. You could keep paying their way, however, there will come a point where you can’t help them. They will lose the house anyway. You will feel like you threw money away. It's time to sit down and have a budgeting conversation with them. If they cannot afford their lifestyle then it is time to change their lifestyle. I've often found that younger people waste enormous amounts of money on lazy habits such as eating at restaurants and buying morning coffee from Starbucks. These things add up and they are unnecessary when you are on a tight budget. We live in an instant society, but success takes time and effort. Have the tough conversations with them now. Debt destroys families. They are better off in a small home than in something they cannot afford.