I have heard 2 things about Proof of Funds Letters, so please someone clarify this for me:
I heard th POF letter is almost a non issue, because all you have to do is tell the REO agent that you are getting a Hard Money Loan, and the is supposed to write that up a certain way on the paper work…Someone give details
I’m hearing that you can go to any 24hr. funding companies website and obtain a FREE POF letter and just use it to get your offers accepted…Again, someone please give details…Thanks in advance
Its as easy as they you’ve heard.
Hope this helps.
Thanks Mama, now I have one more question, how long are the POF letters good for, should i get it prior to making an offer, i intend to make an offer within 2 weeks
The POF will arrive to you by email within minutes.
You just fill out the info on the website she gave you.
When you make an offer they will fax over the paper work to you which you will sign/initial and submit with your POF and if they ask copy of EMD.
Ves…Vittorio has it to a T.
One more thing that wasn’t mentioned. With ivisionary you have to get funds in the form of an entity. Trust, LLC, etc. Check this out whoever you use. Herbster
Thank you all for your information, I will get this all going…
Has anyone had any problems getting offers accepted with these Proof of Fund letters from 24 hour transactional lenders?
Or do the agents/banks not really care since they are going to get usually $2000 in Earnest Money?
Ive done offers with coastal funding and have yet to have an issue with it.
Of course my offers havent been accepted so I cant say for sure.
Im interested to know as well.
The POF from Coastal Funding works every time. The issue you may have if a lender wont accept as POF is becuase they know its for a back to back closing and may not allow. The SS lender can call to verify funds and more and more when its disclosed that its transactional funding for a back to back close and investor must have an end buyer they dont accept it as POF. This is actually a good thing for those who are actually using the POF to flip to an end buyer. It saves you the time of going through to the end and the deal blowing up at closing. As soon as the title company discloses the the lender that its a back to back closing the deal is blown. Its best to disclose this right up front. A lot of times even when the SS lender backs out at closing they would have allowed it if it wasnt a surpise to them and disclosed from the beggining. Disclosure drom the beginning is key and you will close more deals. Hope this helps!!
So when you go into escrow tell them is for back to back closing?
Or when you submit an offer?
I’m actually about ready to ask my realtor/broker if it’s ok to use the Coastal Funding pre-qual letter for my offers. Will report back and let you know how it goes.