SFH 50% owned by parents Cash - 50% me financed

Hello all,

I have dealt with conventional loans under my name, full cash purchase with split equity in title, but for the next deal, my parents wants to provide 50% of the cash and I would finance the remaining. The title MUST reflect that 50% of the house is owned by my parents (in case I pass away, so that it doesn't go to the other side of my family etc).

I am being told by a lender that my parents must do a gift, and that this structure cannot be done. I'm surprised... Anybody has dealt with this situation ?

Thank you!

Charles