Legal Question in Real Estate Law in Florida

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.

Asked on 1/03/08, 9:56 am

1 Answer from Attorneys

Scott R. Jay Law Offices of Scott R. Jay

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.

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Answered on 1/03/08, 10:49 am

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