Proof of funds? We all know that when dealing with foreclosures, or "bank owned properties" there are some hoops that must be jumped through. This is the nature of the business. Proof of funds refers to the cash buyer's ability to prove to the bank they do indeed have the money available to purchase the property they are bidding on. This usually is proved by a bank statement or letter from a banker. (these are two typical ways to show proof). So, yesterday I was sent photos of piles of cash money. The question is, Is this considered proof of funds? My quick answer (and my brokers answer...and banks answer) is NO! First off, that picture could have been taken of anyone's cash, secondly, that cash can disappear overnight.
So what do you think? Should this be considered proof of funds?
There is another layer to this. This money was sent as a photo, not a pile of money delivered to my office as proof of funds. The money was not even delivered to the buyer's agent, she was sent the photo as well. Once again, hard NO. However, what if it was hand delivered to deposit in brokers account? I still say no. What is so difficult about going to the bank and getting a certified check? By dropping off this money you have just put the broker in the position of dealing with the money. (This is one of 3 photos, the amount was $75,000.). So, once again, Is this proof of funds?