The letter dated April 6, 1926 written by Gandhi from his Sabarmati Ashram in India.
Typed in faint ink and with a bold, unaffected signature, the letter was part of a private collection for the past several decades and is now being sold by the Pennsylvania-based Raab Collection.
"Jesus was one of the great teachers of mankind," Gandhi wrote in the letter to Christian religious elder in the United States, Milton Newberry Frantz.
"This is one of the finest letters on religion that Gandhi ever wrote," the Raab Collection said in a press statement.
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"Our research discloses no other letter of Gandhi mentioning Jesus to have ever reached the public market," the historical-document dealer said.
The Raab Collection said it located no record of any letter of Gandhi on Jesus to have reached the public market. Gandhi also discusses his hope for peace among religions worldwide, it added.
"I have not been able to move beyond the belief that Jesus was one of the great teachers of mankind. Do you not think that religious unity is to be had not by a mechanical subscription to a common creed but by all respecting the creed of each?" he asked.