As you have read, gifts are an excellent source for down payments. If you are a first time buyer, there are excellent programs that will help you obtain the best financing. Note: Gifts by parents are not tax deductible...so that should never be a part of the decision. On the contrary, if your parents gift too much in the current year, they could be subject to gift tax laws. I run a dual platform practice of home financing and tax services and have seen incorrect data floating around this subject all to often. There are a lot of factors that will determine your qualifications, but budget should be primary. Speak to your tax advisor, financial planner, or a solid mortgage broker before writing any offers. Please view profile for legal disclaimer.