I have been struggling with this term "Gifted Deposit" but having reread the posts I am wondering if thats just sales patter for a mutually agreed reduction in the deposit amount between buyer and vendor?
So, if the asking price is £180K but the agreed contractual price is £170K, if the deposit was 10% the required deposit goes from £18K down to just £17K to find. However, unless things have changed, there's no hard and fast rule over the deposit amount - its negotiable. So, what I think your IFA is suggesting, as part of the sale negotiations, is getting the vendor to agree both to a reduced price from the asking price plus a reduction in the deposit percentage to 5%. That would give you a deposit to find of £8.5K instead of the £17K, saving you £8.5K to find at exchange of contracts. The balance of the purchase price would then be £161.5K which is paid on completion made up of the balance of your savings and mortgage.
SF - is that what your IFA is proposing?
