Which of the following is considered an acceptable source of capital?

Funds from family members, down payment assistance, or personal savings represent a broad category of acceptable sources of capital when it comes to financing a home purchase. Acceptable capital sources typically include various forms of savings and assistance that help potential homebuyers meet their down payment and closing cost obligations.

Personal savings demonstrate financial responsibility and the ability to save over time, while down payment assistance can make homeownership more accessible for buyers who may not have enough saved. Gifts from family members also qualify as an acceptable source because they can provide necessary financial support without any expectations of repayment, contributing positively to a buyer's capital position.

The other options are limited in scope. Income from employment is essential for ongoing ability to repay a mortgage but does not directly serve as a source of capital for down payments. Gifts from friends are not universally accepted as they can create complications regarding the buyer's financial standing and source verification. Investments in stocks, while potentially being a significant asset, do not inherently provide liquid capital for immediate use in purchasing a home without selling the assets first. Thus, option B encompasses a broader range of legitimate, acceptable sources of capital for homebuyers.