Me again - back with more home buying questions! When we are ready to buy a larger house (we currently own a home), we will most likely want to get in a contract for another house before putting ours on the market. (Doing this has been posted in another thread, so I am aware of the risk of having two mortgages, etc. We won't do this until we can afford it!)
My father has offered to lend us the downpayment for the new house (probably about $50K so we'd be putting 20% down) until we sell our house. We'll have approximately $80 to $85K in equity once we sell our house, so we would then pay him back.
Questions is - what are the tax implications for this? I'm assuming somebody can't just "give" us $50K, even if it is just for a few months. Would my father have to be a co-applicant on the loan?
Also, from your general experience (if you've done this) what are the upsides and the downsides?