Gifted deposit from abroad mortgage queries

poppycat1102

Does anyone have any insight re gifted deposits from abroad? My parents have a business in Canada and have sent me over some money towards my house deposit. They withdrew it out of their business account into their personal joint account then sent it to my current account. Will lenders look at this negatively? They are essentially withdrawing it as 'salary' then giving to me but I have read some lenders do not want money from foreign business accounts. I am finding mortgages very difficult to navigate. If relevant the LTV will be 85% and I am buying with my partner so not all money coming from abroad. We are looking to take out our mortgage with Santander. 

silvercar

Maybe better asking this on the mortgage board. I seem to remember the issue with overseas deposit gifts is the solicitor checks on the donor.

eddddy

There are probably 2 issues to consider...

1. Santander will probably require your parents to sign a document to confirm that the money is a gift - and that you don't have to repay it, and that your parents will have no interest in your house. (Which should be fairly straightforward.)


2. Your solicitor will probably want to do "Anti Money Laundering Checks".

In simple terms, the solicitor will want to make sure that the money was acquired legally - for example, that your parents didn't steal it, or get it by selling drugs etc.

So the solicitor might want to see your parent's business account bank statements, personal bank statements, details of the transfer to your UK bank account, as well as your UK bank statements.

It's up to the solicitor how much evidence they want to see - to make sure there's no money laundering.

So you might want to ask your proposed solicitor what they'll want, and/or maybe ask them to do the money laundering checks first, before you spend money on anything else.

kingstreet

Also here;-

https://forums.moneysavingexpert.com/discussion/6470855/gifted-deposit-from-abroad-mortgage-query#latest