Family Gift
A family gift is represented by monitory value of the down payment or partial down payment from a related person gifting to the borrower who is purchasing a primary residence. A family gift is another source for the down payment. A related person is defined below and is subject to change without notice:
- The borrower’s spouse, child or dependent
- An individual related to the borrower by blood, marriage or adoption
- A guardian of the borrower
- The borrower’s domestic partner
- Fiancé
Verification of the gift must be in a form of a gift letter. The letter is supplied by the broker or lender that is to be completed by the family member/donor. The letter contains the following and is subject to change without notice:
- Donor’s name and address
- Relationship of the donor
- State that repayment is not required or expected
- Identify the address of the property being purchased
- Amount of gift
- Donor to verify sufficient gift funds
