Understanding Family Deposit Mortgages

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If you already have a mortgage with us, you can borrow against the equity in your home and wholly gift that money to a family member as a deposit on a home of their own.

If you have paid off your mortgage on your home, you could still be eligible for a Family Deposit Mortgage.

Our Mortgage Consultants will be able to tell you if you’re eligible for a Family Deposit Mortgage.

Firstly, you'll need to talk to a Nationwide Mortgage consultant in branch or over the phone to find out if you’re eligible. The Buyer will then need to get a valid Nationwide Decision in Principle (DIP). They can get a DIP before they make an offer on a property and they can apply for it online, even if they want to continue their application over the phone or in branch. You will then need to give a copy of the Buyers valid Nationwide Decision in Principle (DIP) as this is needed as part of your Family Deposit Mortgage application. Once you’ve completed this mortgage application, we’ll release the funds for the deposit directly to you so that the person you’re helping can get moving.

Once your family member has a valid Nationwide Decision in Principle (DIP), they need to give a copy of this to you. You’ll then need to give it to your Nationwide Mortgage Consultant who will include it with your full mortgage application. 

No. A Family Deposit Mortgage can only be applied for in one of our branches, or by calling us on 0800 30 20 10.

No. Our Family Deposit Mortgage is designed to help families support loved ones with a home purchase in a challenging market. Any money released must be gifted (i.e. they won’t repay you) to your family member for use as all (or part) of a deposit on a home purchase with a Nationwide mortgage. We don’t accept loans as deposits on home purchases. 

Inheritance tax is complicated and we’re unable to provide advice on this. We advise all our members and customers to seek independent advice before making any financial decisions.

No. Our Family Deposit Mortgage must be used only for members of your family. We include family members like children, step-children, spouses, civil partners, parents, brothers, sisters, grandparents, grandchildren.

Funds released by a Family Deposit Mortgage must be used (either partially or in their entirety) to help a family member buy a home of their own. This might mean their first home, or a move up the property ladder.

Yes. We understand it’s not just younger generations who may need help buying a home. So we designed our Family Deposit Mortgage in a way that makes it available to all generations of a family (subject to affordability checks). 

No. Funds released by a Family Deposit Mortgage must be used to help a member of your family buy a home of their own with a Nationwide mortgage.

No. Our Family Deposit Mortgage is designed to help Nationwide families buy homes of their own. So if your family member isn’t eligible for a mortgage with us, you won’t be able to apply for a Family Deposit Mortgage, but could be eligible for a mortgage from our standard mortgage range.

No. Your family member’s affordability check must have been carried out by Nationwide.

Yes, you will need a Decision in Principle (DIP) from Nationwide. But it doesn’t matter if you get this before or after your family member gets theirs. All that matters is when you apply for a Family Deposit Mortgage both you and your family member have a valid Nationwide Decision in Principle (DIP).

You'll need to reapply for your mortgage, as the offer is only valid for 90 days.

No. Nationwide is unable to provide legal or financial advice of any kind. We advise all our members and customers to seek independent advice before making any financial decisions.

No. Your preferential interest rate will only be for the term of the product you choose (e.g. for 3 years on a 3 year mortgage deal).

Yes, it’s up to you how you split the additional borrowing between family members, as long as they all have valid Nationwide Decision in Principles (DIP) when you apply. It’s important to be aware that the money will be released to you in one payment on completion of your mortgage application.