Frequently Asked Questions

But what is a Proof of Funds Letter?

It’s a document that identifies you have the liquid cash available to complete a transaction, i.e. your real estate deal. Even if you want to make a cash offer on a property, many sellers and/or their agents will want to make sure you can put your money where your mouth is! This one document allows you to communicate that you’re a legitimate buyer and have the funds to purchase the real estate immediately. This is especially important when multiple people are making offers on the same deal. Your proof of funds letter will set your offer apart from your competitors and keep your offer at the top of the pile.

Why a Proof of Funds Letter?

A Proof of Funds letter is a SIMPLE, BUT POWERFUL, tool that significantly improves your chances of getting and closing your real estate deal. This document shows sellers that you’re not only a serious buyer, but that you have enough money to actually follow through on the purchase.

In fact, most borrowers and agents won’t even look at an offer unless there’s a Proof of Funds letter attached.

A proof of funds letter verifies and provides proof to a seller that the funds to purchase their property are available and ready to be used toward the purchase.

After you have determined that you want to make an offer on a property, the next step will be to acquire a proof of funds letter so you can get it under contract and begin the due diligence process.

What You’ll Need For Your Proof Of Funds Letter:

• The complete property address
• Purchasing entity name
• Purchase price (or amount you’d like stated on the proof of funds)