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    • Bexx1234
    • By Bexx1234 17th Mar 17, 9:35 AM
    • 5Posts
    • 0Thanks
    Mortgage Deposit
    • #1
    • 17th Mar 17, 9:35 AM
    Mortgage Deposit 17th Mar 17 at 9:35 AM
    Good Morning,

    We are currently renting a family members property, we want to buy this property. Someone has advised us that if the family member was to give us a discount on price this would count as a gifted deposit, is this correct?

    They said that he would need to sign a document at the solicitors to say that he does not expect any moneys back as this is a gifted deposit.

    Please can someone confirm if this is correct?

    Thank you!
Page 1
    • kingstreet
    • By kingstreet 17th Mar 17, 9:40 AM
    • 33,347 Posts
    • 18,041 Thanks
    • #2
    • 17th Mar 17, 9:40 AM
    • #2
    • 17th Mar 17, 9:40 AM
    Yes to both.

    An independent broker would be the best place to get advice on this to ensure it is done properly.

    Your relative needs to note capital gains tax is paid on the market value, not the discounted price you pay. Your stamp duty is however based on the 'consideration' the actual amount paid.
    I am a mortgage broker. You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice. Please do not send PMs asking for one-to-one-advice, or representation.
    • Bexx1234
    • By Bexx1234 17th Mar 17, 9:56 AM
    • 5 Posts
    • 0 Thanks
    • #3
    • 17th Mar 17, 9:56 AM
    • #3
    • 17th Mar 17, 9:56 AM
    Great thank you so much for your reply! Really helpful advice.
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