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  • FIRST POST
    • Izzy Ziddi
    • By Izzy Ziddi 14th Apr 18, 1:01 AM
    • 23Posts
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    Izzy Ziddi
    Gifted Deposit Donor has to be a homeowner
    • #1
    • 14th Apr 18, 1:01 AM
    Gifted Deposit Donor has to be a homeowner 14th Apr 18 at 1:01 AM
    My cousin has appointed a Broker to assist her in purchasing a Buy To Let property with a mortgage amount of 38k and her deposit monies of 15k partially includes gifted deposit from family. The lender The Mortgage Works hascbeen very paticular in knowing the source of deposit and has advised that only two donors are allowed and both have to be homeowners with 3 months bank statements showing how he/she accured the funds. Is this normal practice to ask that the donors have to be homeowners? I thought this requirement would be necessary if it was a Guarantor Mortgage?
Page 1
    • amnblog
    • By amnblog 14th Apr 18, 7:11 PM
    • 10,738 Posts
    • 4,260 Thanks
    amnblog
    • #2
    • 14th Apr 18, 7:11 PM
    • #2
    • 14th Apr 18, 7:11 PM
    We do not know the case, the Broker does, but TMW say the donor must be a homeowner or have savings above the deposit amount required.
    I am a Mortgage Broker

    You should note that this site doesn't check my status as a Mortgage Broker, 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.
    • Thrugelmir
    • By Thrugelmir 14th Apr 18, 7:19 PM
    • 59,807 Posts
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    Thrugelmir
    • #3
    • 14th Apr 18, 7:19 PM
    • #3
    • 14th Apr 18, 7:19 PM
    Is this normal practice to ask that the donors have to be homeowners?
    Originally posted by Izzy Ziddi
    Does this pose a problem? People are known to dream up all sorts of schemes to circumnavigate banks lending rules. Underwriters will ask for what they consider neccessary depending on the circumstances of the application.
    Financial disasters happen when the last person who can remember what went wrong last time has left the building.
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