We make it easy, no matter where you are.
We make it easy, no matter where you are.
Global Home Finance Atlas Logo | Mortgage Broker Georgia & Texas

Use a Gift for New Home Closing Costs or Down Payment

Use a Gift for New Home Closing Costs or Down Payment

Gifts from a family member are many first-time buyers’ bridge to owning a home. But you don’t always have to be a first-time homebuyer to use a gift for closing costs. Heck, you can get a gift for a second home purchase too!

There Are Important Rules to Remember

One of the key things to remember is that the gift comes from an acceptable donor. A gift needs to be provided by a relative like the borrower’s parents, spouse, child, other dependent, or any other individual who is related to the borrower by blood, marriage, adoption, or legal guardianship. A non-relative who shares a familial relationship with the borrower, like a domestic partner (or relative of the domestic partner), fiancé of the borrower, former relative, or godparent, can also be an acceptable donor.

The gift of funds can be used for all or part of the down payment, closing costs, or financial reserves in accordance with minimum borrower contribution requirements.

But there are two very important guidelines to remember:

  • Gifts are not allowed on an investment property.
  • The donor cannot be (or affiliated with) the builder, developer, real estate agent, or any other interested party in the transaction.

If you cannot get a gift from a family member and have your down payment ready, then ask about Global Home Finance gifting you the closing costs with our Consumer Closing Costs Subsidy Program. You can change your life or the life of a family member. To talk more about accepting—or giving—a gift that helps build a happy future, schedule an appointment today with Brad Cahoone, Founder of Global Home Finance.

More from Global Home Finance

What's in Store for 2024
Offers

What’s in Store for 2024

Hey Future Homeowners, Investors, and Financial Gurus! It’s your pal Brad Cahoone, your mortgage and real estate wizard, bringing you a sneak peek into 2024!

Elvis Birthday Extravaganza
Offers

Elvis Birthday Extravaganza

The King is in the building, and he’s got a birthday anniversary treat that’ll make your financial dreams sing!

We're here to help

Let's Get Started

We help you find the custom mortgage solution that fits your needs, whether you are buying your first home or refinancing an existing mortgage. We are here to help you to find the best mortgage available.