Loaning money to our kids IS part of our retirement strategy. They are the best bet in town and we charge them higher than market interest (but with flexible terms).
The downside for us is that they pay back the loans quickly, the high interest is a motivator.
We took over my son-in-laws student loans. He and my daughter paid back $60,000 in three years.
I look at it this way, if they are paying rent, some other family is getting rich off of them.
Why not keep more wealth in the family?