Saving for a deposit can be one of the biggest hurdles for first-time buyers, which is why many rely on a gifted deposit from parents or family members. Our clients had found their ideal home but relied on financial support from family to make the purchase possible. We guided them through the gifted deposit process, worked closely with the lender and solicitor, and secured a mortgage offer that enabled them to buy their first home with confidence. In this gifted deposit case study, we explain exactly how we were able to help
The Client
Our clients were a young professional couple looking to purchase their first home in South West London.
They had stable employment, good credit histories and had been saving for several years. However, rising property prices meant they still needed additional help to reach the deposit required.
Fortunately, their parents were able to provide a gifted deposit, but the couple were unsure how this would affect their mortgage application or whether it would delay the purchase.
The Challenge
While gifted deposits are common, every lender has its own requirements.
The clients were concerned about:
- Whether a gifted deposit would affect their mortgage application.
- What documentation would be needed.
- Whether their parents would have any legal ownership of the property.
- Delays caused by additional checks from the lender or solicitor.
They wanted reassurance that everything would be handled correctly so they could focus on buying their first home. Some lenders have stricter criteria than others, making it important to choose a mortgage lender that accepts gifted deposits and understands your circumstances.
Our Solution
We explained the gifted deposit process from the outset, ensuring the clients understood exactly what information would be required.
After comparing lenders across the market, we recommended one with straightforward gifted deposit criteria and worked alongside their solicitor to ensure all the necessary documentation, including the gifted deposit declaration, was provided promptly.
By managing the process proactively and keeping all parties updated, we helped avoid unnecessary delays and kept the purchase moving forward.
The Outcome
The mortgage was approved, and the clients successfully purchased their first home. The clients were able to exchange contracts and complete their purchase without unnecessary delays.
Because the gifted deposit had been properly documented from the beginning, the application progressed smoothly, and the clients completed their purchase without unexpected complications.
They were able to move into their new home knowing the mortgage and legal process had been handled correctly.
Oportfolio Insight
A gifted deposit doesn’t have to make your mortgage application more complicated.
Many UK mortgage lenders accept gifted deposits from parents or immediate family members, provided the correct documentation is supplied and the gift is unconditional.
At Oportfolio Mortgages, we regularly help first-time buyers navigate the process, liaising with lenders and solicitors to ensure everything is completed as efficiently as possible.
Key Takeaways
- A gifted deposit is accepted by many UK mortgage lenders.
- Every lender has different requirements, so choosing the right one is important.
- Providing the correct paperwork early can help avoid delays.
- A gifted deposit doesn’t usually give the person gifting the money any ownership of the property.
- Working with an experienced mortgage broker can make the process much simpler.
- Not every lender assesses gifted deposits in the same way, so expert advice can help you find the most suitable mortgage.
Need Help Buying Your First Home?
Whether you’re buying with your own savings or receiving financial support from family, we’re here to help.
At Oportfolio Mortgages, we guide first-time buyers through every stage of the mortgage process, from choosing the right lender to securing your mortgage offer.
If you’re buying your first home with a gifted deposit, speak to Oportfolio Mortgages today. We’ll help you understand your options, compare lenders across the market and guide you through every step of the mortgage process.
