Buyer’s down payment comes from a gift? Remember the rules

 

According to NAR, more than a quarter of first-time home buyers used a gift (from a friend or relative) as their down payment last year. That’s fine and dandy, but, this being America and all, there are rules that must be followed.

For example, buyers probably need to come up with at least some of the down payment themselves. And they should document the gift — have a letter explaining that it’s not a loan.

Read more on Realtor.org. (Note: The article mentions that it comes from Newsday, but I couldn’t find the original. So the source is currently unknown.)

About Andrew Kantor

Andrew is VAR's editor and information manager, and -- lessee now -- a former reporter for the Roanoke Times, former technology columnist for USA Today, and a former magazine editor for a bunch of places. He hails from New York with stops in Connecticut, New Jersey, Cincinnati, Columbus, and Roanoke.
This entry was posted in The Buzz. Bookmark the permalink.

Leave a Reply

Your email address will not be published. Required fields are marked *