A gift letter is a legal document stating that the money received from a relative, family member, or a friend is a gift. Gift letters are used to assure lenders that the money used to pay for the down payment for a house or property is a gift and not a loan. Furthermore, the letters state that the money will not be paid back in any way, form, or shape (Investopedia, 2020). A gift letter is best made with a template.
Gift letters are not only limited to cash; they can also be forgiving debt, check or other tangible items, below market loans, and transferring a title to stocks or real property without receiving anything in exchange of value (Investopedia, 2020). If you need to write a gift letter, take a look at Template.net’s printable gift letter templates. These sample templates are editable through the website’s editor tool. Just click your chosen template and you will be directed to the editor tool. However, you can also edit these templates through various file formats such as Adobe PDF, Microsoft Word, Apple Pages, Google Docs, and Microsoft Outlook. You will be required to sign up for a membership before you can download the template.
According to Ruby Home, FHA or the Federal Housing Association, have a list of acceptable donors. Funds can come from a relative; close friend with a clearly defined and documented interest in the borrower; governmental or public entity down payment assistance program (home ownership assistance for first time home buyers a or low- to moderate-income families, labor union or employer; and a church or a charitable organization.
