What is an acceptable source for a gift for down payment?
Hi, this is Ana from CA. I want to know what is an acceptable source of a gift for down payment? I planned on using my ex-husband’s help so I can qualify for a conventional loan but was told by my lender that the gift is not acceptable. This left me with an FHA loan as the only option. I had been pre-approved for a loan but the appraisal turned out low which means my equity from the property can’t be applied. Thoughts? by anagarcia27 from Brentwood, California. Jun 13th 2022
Joe Metzler (JoeMetzler)
#17 ranked lender in Minnesota - 4,848 contributions
Standard acceptable PREFERRED gift is from a blood relative ONLY. But a well documented significant other (father (or mother) of your child, live in boyfriend/girlfriend, or even ex-husband would be OK), or your employer. As for appraisal low, and equity can't be applied? On the purchase of a home, lenders go off the appraised value of the home, but not to exceed the purchase price. So for example if the purchase price is $400,000, and the appraisal is $450,000. We don't care about appraisal being $50,000 higher. It does nothing for you, except knowing you got a deal. All down payment and other requirements would be based off the $400,000 purchase price only. I provide home mortgage loans in MN, WI, IA, ND, and SD. Cambria Mortgage, NMLS 274132
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