The gift letter says the money is a gift, not a loan you have to pay back.
Move the money by check or bank transfer, not cash or a payment app, so there is a clear paper trail.
Can my family give me money for the down payment?
Yes. Most loans allow a gift from family for the down payment and closing costs. The lender will ask for a gift letter and proof of where the money came from.
More questions
- How much do I need for a down payment on a new home?It can be $0. You do not need to be a veteran or a first-time home buyer.Read the answer
- How much is the deposit on a new construction home?The deposit is as low as $1,000. You pay it after you are pre-approved and have found the home you want, and you get it back at closing.Read the answer
- Who pays closing costs on a new construction home?Often the builder. When you use the builder's lender, the builder often pays your closing costs, so you keep your savings for the move.Read the answer
- What will I spend on moving into a new home?Plan for the move itself, first-month utility deposits, and things the home may not come with, like blinds, a fridge or a washer and dryer.Read the answer