Posted on: 29th Mar, 2010 07:41 pm
My son is applying for $120,000 loan but due to his debt ratio only qualifies for $100,000. In lieu of co-signing, could I gift him the $20,000? I currently have that in my savings account.
Hi denskey,
You can gift the money to your son. However, you do not need to cosign for your son's mortgage just because you are gifting the money. However, the lender will ask your son to provide him with a gift letter. You may have to provide the lender with the account details in regards to that amount.
Take care.
You can gift the money to your son. However, you do not need to cosign for your son's mortgage just because you are gifting the money. However, the lender will ask your son to provide him with a gift letter. You may have to provide the lender with the account details in regards to that amount.
Take care.