Document background
The Down Payment Gift Letter is essential in UAE property transactions where a portion or all of the down payment is being provided as a gift from one party to another, typically family members. This document becomes necessary when mortgage lenders require verification of the down payment source and confirmation that the funds do not need to be repaid. The letter must adhere to UAE Civil Code requirements, Central Bank regulations, and anti-money laundering laws. It includes detailed information about the donor and recipient, specific gift amount, property details, and clear declarations about the gift's nature. The document is particularly important in the UAE market where property purchases often involve family assistance and strict banking regulations require transparent documentation of fund sources.
