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. A mortgage gift letter is a statement that assures your lender the money that came into your account is a gift and not a loan.Learn how to create a mortgage gift letter template to ensure a smooth homebuying process with your gifted funds with 6 samples. The trick to getting approved is using a gift letter template that the bank will accept as proof that the money from your parents is non-refundable. A gift letter is an important, formal, legal piece of documentation that can help explain that a (usually rather large) sum of money was gifted to you. A gift letter is a note from a donor to your lender regarding cash funds for your mortgage down payment. Firsttime homebuyers are most likely to receive a cash gift, but repeat and moveup buyers may receive them, too.