real estate & non-profit
Is it illegal as a seller to give a buyer the down payment, some people call it a gift/gift tax or is it legal to start a non-profit to give the money to and let the buyer receive from the non-profit. These are things we have been told by other builders but I want to know myself what the legal view of this is.
1 Answer from Attorneys
Re: real estate & non-profit
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If a gift or credit is disclosed to the lender and then shown on the closing statement or HUD-1 Settlement Statement it is legal. I cannot speak for the non profit entity gift but there are some that do give gifts such as governmental first time buyer programs and they are also legal.
Scott R. Jay, Esq.