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Having the money in your account is only part of the review. The lender also needs to establish that a proposed gift is an acceptable source of funds and is not an undisclosed loan.
The issue in the file
A deposit in an origination file needed more source information. Our team requested donor details and gift confirmation. The question was not whether the family wanted to help. It was whether the documentation supported the way the funds were being used.
This is easier to handle before several transfers create a longer trail. Ask the mortgage team for its gift instructions before moving the money if possible.
What the documentation needs to explain
For eligible Fannie Mae transactions, a gift letter identifies the donor, relationship and gift amount and states that repayment is not expected. The lender also verifies availability or transfer of the funds. Acceptable donors and borrower contribution requirements depend on the transaction.
Use the lender’s instructions for your particular program. Do not assume that a gift accepted on a primary-home purchase will also be accepted on an investment-property loan. If repayment is expected, describe the arrangement honestly so the lender can evaluate it correctly.
Plan the transfer with the team
Confirm who is sending the funds, where they should go and which transfer records the lender needs. Keep complete records of the movement rather than just a balance after the deposit. If the amount or source changes, tell the team before final figures are prepared.
I would also separate the gift from your own available cash when discussing the purchase budget. That makes it easier to see closing funds, reserves and the money you will actually have left after moving.
The goal is a clear trail that supports the family’s help without creating a last-minute funding problem.
Sources and further reading
Talk through your question
Tell us what you are trying to accomplish. Schedule a conversation so we can identify the facts and documents needed for your situation.
Published September 13, 2026. Adapted from an origination discussion. Identifying details are omitted. Unconfirmed outcomes are not presented as completed loans. Program and lender requirements need an individual review. Nick Cunningham, Loan Officer, NMLS #907393. Mortgage services through Golden Bay Mortgage Group.
