Pin down the specifics of the property in question. Clearly state the property's address, ensuring there's no ambiguity about where the gift funds are intended.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 simple but essential document that assures lenders the funds you received are a gift, with no repayment expected. The goal of a gift letter is to provide the lender with proof of where the funds came from. This is a standard gift letter I'd like to show you how it's supposed to be completed. Use these stepbystep instructions for accepting a cash downpayment gift on a home, including a readytouse mortgage gift letter template. Donor - Please complete items 9 through 12 as applicable and return directly to lender named in item 2. A gift letter is proof to the lender that the funds were gifted to a homebuyer for their home purchase, and not a loan or borrowed money. Lenders will require that sellers write a gift of equity letter.