Yes — Home Possible® allows gift funds from eligible donors for down payment and closing costs with a gift letter and paper trail.
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Gift Funds
Yes — Home Possible® generally allows gift funds from eligible donors for down payment and closing costs, as long as the gift letter and paper trail meet underwriting standards.
Family help is one of the most common ways Home Possible buyers cover a 3% down payment and closing costs. Because Home Possible is a conventional Freddie Mac product, gift funds follow conventional documentation rules — not FHA’s slightly different gift framework.
Underwriters need clear proof that the money is a true gift (not a loan), that it came from an eligible donor, and that it can be traced from the donor’s account into yours before closing.
Ryan and Steve prepare the gift letter package early so last-minute wire issues do not delay your closing date.
What underwriters typically need before gift funds clear for closing.
How gifts compare to your own funds, seller credits, and stacked assistance.
Related Home Possible guides on cash to close and stacking assistance.
Ryan & Steve will set up the gift letter package, confirm donor eligibility, and stack gifts with VLIP or other DPA when it fits.
Home Possible is a registered trademark of Freddie Mac. All loans are subject to credit and property approval. Program guidelines, income limits, and pricing are subject to change without notice and may not be available in all areas. This website is not affiliated with or endorsed by Freddie Mac, HUD, or any government agency. Information is for educational purposes only and is not a commitment to lend.