A gift of equity allows a home seller to transfer part of a property's value to a buyer by selling below appraised value, helping cash-strapped relatives afford a down payment while keeping homes in the family. The strategy requires an appraisal, a signed gift letter, and lender…
Gift of Equity Lets Families Sell Homes Below Market Value
A gift of equity allows a home seller to transfer part of a property's value to a buyer by selling below appraised value, helping cash-strapped relatives afford a down payment while keeping homes in the family. The strategy requires an appraisal, a signed gift letter, and lender approval, with tax and loan program rules varying.
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