Buying A House From Family Below Market Value -

: Lenders like Fannie Mae , FHA , and Freddie Mac often allow this gifted equity to count as your down payment, potentially enabling a $0 down purchase.

: You must establish the FMV through a professional appraisal to determine exactly how much equity is being "gifted". Critical Tax Implications buying a house from family below market value

When you buy a home for less than its fair market value (FMV), the IRS treats the discount as a gift. : Lenders like Fannie Mae , FHA ,