Seasoning Requirements for Gift Funds (FHA vs Conventional)
I'm looking to purchase my first property in the very near future. (Duplex househack in North Jersey) I have 5% of the purchase price saved up + enough for closing costs, immediate repairs and reserves (roughly 5 months PITI).
Since the market is so competitive right now I was considering getting funds gifted from a family member, to increase my down payment (an extra 10% to get to 15% combined down) so that my offer would be more competitive. My questions are:
1. Is there a certain amount of time the funds need to be sitting in my account in order to use them towards a down payment?
2. What is the seasoning time period needed for funds in the donor's account?
3. Do these amounts of time vary from Conventional vs FHA?
I appreciate any help that can be offered!
-Rob