cash offers?

For those of you that make all cash offeres, how do you document your proof of funds? Or do you?

For example, I want to offer x amount but I don’t want them to see that I have x+50K in the account for negotiation purposes. Do you black out the account numbers as well or leave them so they can validate?

I normally don’t provide proof of funds until the offer is accepted.


I have yet to have a seller ask for proof of funds. Then again, I’ve never bought a property that was listed with an agent.


i think he was talking about REOs. Normally, banks almost always ask for either a pre-approval letter or proof of funds.


Ah. “D’oh!”

If it were me, I’d just show them the bank statement, even if it shows a half-million and you’re trying to buy a property for $100K. I’d probably block out the account number, though.

I don’t think they’d say, “Well, he’s got MORE, so let’s get MORE.” I think they assume going into it that you’re not using your last penny to make the offer.

If you don’t want to reveal details, you could get your banker to write a letter saying that you currently have on deposit an amount in a certain range. Banks talk about account balances with terms like:

High 5 (70,000 to 99,999)
Mod 4 (4,000 to 6,999)
Low 6 (100,000 to 399,999)

Where “low” is 1-3, “mod” is 4-6, and “high” is 7-9, and the following number is how many digits the balance is.

When we make offers on REO’s we provide a letter from our mortgage company saying that we are pre approved to buy the property. When I used to buy with all cash I would just provide a letter from the bank instead. If you have the cash/pre approval then a simple letter will do. Pretty simple and not something to worry about too much.

I provide a current bank statement dated and signed by the Customer Service Representative at the bank…


Thanks for the help guys.