The letter must explain who is gifting the money, where the donor's funds are coming from and the relationship between the donor and the recipient. The purpose of this letter is to document that the money does not need to be repaid as well as the donor's name, contract information, and relationship to you.Yes, all lenders will require a gift letter. Although you may have the funds, the lender needs to confirm that you won't have to repay the gift. A gift letter for a mortgage is proof to the lender that money you've been given for your home purchase is a gift, not a loan to be repaid. Buyer and donor need to fill out the FHA gift form (see sample above) and that is it! Close-up of gift details on form. The letter should include the exact dollar amount of the gift and the date of transfer. Keep in mind, the amount of the transfer must match what's stated in the gift letter. If their gift is too large, they may have to fill out a gift tax form when filing returns.