Down payment gifts are allowed by fha, va and conventional loans.

Amortized over 30YRs | Instant Equity | Max Cash Flow/Mortgage Fee Sample Scenario4 unit property, purchase price $600,000, Rents per unit $2,500, $120,000 rehab, credit 720, ARV $760,000|6% allowable seller credit | all or a portion of Down Payment can be "gift funds"Total Cost (est.): $720,000Down Payment:  $25,200Loan Amount: $706,959Rate: 2.875%P&I: $2,933.12/mo.Property Taxes (2.5%): $1,250/mo.Mortgage Insurance: $500.76Home Insurance: $250/mo.4 units (renting 3 units): $7,500Carrying Cost: $8,367.76Owner's portion of mtg. payment: $867.76Instant Equity (est.): $40,000** I realize there are other costs to consider i.e. vacancy percentage, utilities, etc., but wanted to give an example to foster conversation. 

To avoid doing the right thing and paying the realtors less than $10k, he is opening himself up to gift taxes (at 55%) and title problems for you.