Gift Letter Templates and Samples

A Gift Letter is a document signed by the party that gives money to another party to certify that the received money is a gift and specify the area of investment, which is oftentimes a real estate acquisition.

Using a pre-made Gift Letter template will increase the likelihood that the bank will accept the letter. The templates available down below already contain the necessary confirmations and clauses and only require the personal data and signatures of the participants to be complete.

Gifting Letters are necessary when a friend or a relative assists you in making a down payment. A bank requires this information to ensure that the money was not borrowed from another source. Providing proof is necessary because a bank may calculate more debt or disqualify you from your current loan or any future borrowings.

Gift Letter Types

1. Generic Gift Letter . Use this ready-made customizable template when drafting your own Gift Letter.
2. Vehicle Gift Letter . Gifted vehicles from nonimmediate family members must be accompanied by a notarized Gift Letter for tax and legal purposes.
3. Mortgage Gift Letter . If you do not have enough money to finance your mortgage and have a third party fund your down payment, it is necessary to document this gift source via a Mortgage Gift Letter.
4. EquityGift Letter . Equity gifts require a legal letter signed by the seller and borrower. An equity gift is money provided by the seller of real estate to the property buyer that works like a loan.
5. VA/FHA/Conventional Gift Letter . Similar to the Mortgage Gift Letter, this document is used to verify that the gifted money you use towards your VA, FHA, or conventional loan is a gift and not a loan
6. Gift Thank You Letter. Use this letter to express your gratitude towards the person who gave you a gift.

When Is a Gift Letter Required?

Gifts requiring additional certification may include cash, checks, property to secure the loan, or forgiving debt. A Gift Letter should contain the name and contact information of the gifter, specify the relationship between the parties, give a description of the gift, and state when the gift was made. The gifter and the receiver should sign the letter before sending it to the bank. The letter must confirm that the received money or property is unconditional and is not expected to be returned or repaid. If the letter is written by any other person than the gifter, the letter is considered invalid.

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