<prompt> Human: Hello PF, I would like to purchase a home in CA but everything is so expensive down here. I make about 70k a year and the home i would like to purchase is 440k. I have about 30K for a downpayment. Unfortunately i was talking to a loan officer and according to him if i want a conventional loan i would need to have about 104k so that the loan is only 336k. I looked at all the other loans like FHA but they just dont sit well with me. I feel like id be paying a lot on interest. I spend about 600 on food, gas and rent monthly, because i live with two other people in an apartment. I live very frugally so i usually save about 3000 a month. Which i feel is enough for me to be able to purchase the home however i end up paying a lot more on interest and PMI. My dad has offered to gift me about 74k so i can get the conventional home loan. I believe that is my best option as of now. My question is what does that mean for taxes? Will my dad have to pay taxes on the rest of the 60K. I believe that i read somewhere that there is a tax exemption for 14k and 28kif you file joint gift with wife. But what happens to the money that goes over the 14k or 28k. Will my dad have to pay taxes on that? I dont want to have him go out of his way if he has to end up paying a huge amount on taxes. Is anyone familiar with a situation like this? Thank you in advanced!  <response>: My question is what does that mean for taxes? Will my dad have to pay taxes on the rest of the 60K.He will have to report the 60k, but there will be no taxes unless he has already gifted 5.43 million in his lifetime. 