Gifted deposit and halifax mortgage

Vladimus

More or less the same story --> were asked about the deposit. Provided with the gift letter and even a copy of passport of my mother. Now they demand 6 months of HER bank statements, although she is not a party in the engagement. She doesn't want to disclose her financial information even to me, not to say to some random third party she has no relationship with.

I've examined all the guidance published by HMRC and industry recommendations and couldn't find anything like this. I obviously cannot provide data I have no access to.

Thanks for advise

Robyn6149

Hi all,
I'm wondering if you can help.
I recently decided to go ahead with a house purchase however, I didn't have the funds until my March bonus was paid. I really didn't want to miss out on the property so my dad decided to gift me the funds and paid them directly into my account.
I then went ahead with the purchase and so on; I've now discovered that my dad took this money out as a personal loan (as he didn't want to remove from investments) - I'm wondering how this will affect my mortgage application/solicitor money laundering checks.
My dad is not expecting the funds back and will be paying them himself however, I'm worried that it will not look like this to the provider. I don't want to go further with the application process if I'm going to be stuck at this hurdle.
How do you think this will affect my mortgage etc?
Thanks so much in advance.

kingstreet

It won't.

How he raises the money is his affair.

As long as the gift is correctly documented, there should be no issues for you.

amnblog

The solicitor now has to report the gift as you ticked the box.

This gift is though, within Halifax criteria. I would think there is a very limited chance that this will affect your offer (unless your sister is moving in with you).


Have a gift letter ready in the correct format for the lender.


(PM me if you need the format)

amnblog

amnblog wrote: »

The solicitor now has to report the gift as you ticked the box.

This gift is though, within Halifax criteria. I would think there is a very limited chance that this will affect your offer (unless your sister is moving in with you).


Have a gift letter ready in the correct format for the lender.


(PM me if you need the format)

SHOULD HAVE READ THE OP DATE.


Probably bought and sold up by now!

Robyn6149

Thank you both for responding so quickly.
I had a mild panic when I found out that things weren't go to be plain sailing.
I've contacted my solicitor to ask as well as my financial adviser.
Thanks for putting my mind at rest - fingers crossed I will be in touch regarding the gift letter
Thanks,

arshie

Hi Robyn,

Kindly do update on the outcome as I am in a similar situation.

Thanks and regards

sukubutsu

"This gift is though, within Halifax criteria. I would think there is a very limited chance that this will affect your offer (unless your sister is moving in with you)."

Can someone please explain why the gift would affect the loan if the giver moves in to the property?

Same-ish situation with us right now. Mortgage solely under husband's name but deposit coming from me (wife) and we were told by our solicitor that a gifted mortgage deposit from spouse is acceptable, but mortgage adviser tells us that is a bad bad move and will probably have our loan rejected just because we are not allowed to accept a gift from a person who will also be living in the property!

Where do they expect the wife to live? and deposits are usually a joint thing from the wife or husband or both anyway! where do the lenders expect the deposit to come from? If someone can shed some light on this matter I would really be grateful.

kingstreet

Many lenders don't like someone contributing to the deposit and living in the property when they aren't party to the mortgage.

This is because the lender may have legal problems if it needed to repossess as the donor could claim an interest in the property, regardless of a letter to the contrary at the outset.

Veryconfused

Hi all.
I am currently in a same-ish situation.
Got myself a principal agreement for a new built and currently in the process of the full mortgage application. Halifax require prove of built up of the deposit fund over 6 month.

My situation is that my funds was transfered overseas to parents as a form of saving over the past 5 years and recently at the begining of the year they have returned a large part of the money in form of cash during their visit.

This leaves me in a rather awkward position.
Would appreciate if an expert could shed some light.

Many Thanks in advance