Gifted Deposits FAQ's in Leeds

Gifted Deposits FAQ’s in Leeds

First-Time Buyer Mortgage Advice in Leeds

When you are a First Time Buyer and are struggling to save up for your deposit, sometimes a little help is needed to give you a financial boost. More often than not, this assistance comes in the form of a gifted deposit.

What are Gifted Deposits?

Gifted deposits are simply when a family member or friend give you a sum of money to use towards your deposit. It could be the whole of the deposit or just a small portion of it. Usually, it’s First Time Buyers that receive gifted deposits, however, we’ve also seen people moving home and still receiving a gifted deposit.

The person who is providing the gift will have to prove where the funds have come from and sign to say that it is a loan and not a gift. Lenders rarely let you use a loan for your deposit as you are technically borrowing 100% of your mortgage. Even if you are borrowing from a family, it’s still payments going out each month to pay them back.

How can Gifted Deposits help?

Gifted Deposits can be incredibly helpful, especially if you are a First Time Buyers in Leeds. As a Mortgage Broker in Leeds, we’ve seen Gifted Deposits actually put people way above the usual 5% minimum deposit. This is because they’ve already had some sort of deposit in place, so they combine the two and make up a deposit greater than 5%.

It can be a challenge to save up for a deposit, especially if you are looking at buying a larger home. As mentioned before, you will usually only need a 5% deposit, although this can change depending on your lender and how the economy is performing. This is why having a family or friend to step in and help is extremely helpful.

They can put you in a great position when it comes to negotiating prices. If you have a little bit of extra cash, you may be able to get a better property or put in a higher offer to increase your chances of getting the property. As long as you don’t go too high you should be okay; you don’t want to have a property valuation carried out only for it to be downvalued.

Gifted Deposit Mortgage Advice in Leeds


Leedsmoneyman.com & Leedsmoneyman are trading styles of UK Moneyman Limited, which is authorised and regulated by the Financial Conduct Authority.
UK Moneyman Limited is Registered in England, No. 6789312 | Registered Address: 10 Consort Court, Hull, HU9 1PU.

Authorised and Regulated by the Financial Conduct Authority.
We are entered on the Financial Services Register No. 627742 at www.register.fca.org.uk

The information contained within the website is subject to the UK regulatory regime and is therefore primarily targeted at customers in the UK.
Should you have cause to complain and you are not satisfied with our response to your complaint, you may be able to refer it
to the Financial Ombudsman Service, which can be contacted as follows

The Financial Ombudsman Service, Exchange Tower, London, E14 9SR
www.financial-ombudsman.org.uk

© 2022 Leedsmoneyman

Leedsmoneyman, Wizu Workspace, 32 Park Cross Street, Leeds, LS1 2QH.

Moneyman Logo







Moneyman Logo




Moneyman Logo

Ask Your Question





    Moneyman Logo

    Moneyman Logo







    Moneyman Logo

    Book your Free Consultation

    7 Days 8am - 10pm

    Moneyman Logo

    Moneyman Logo