A PROOF OF FUNDS letter can be a very effective tool that you have in your investor toolbox. We need to give you FULL DISCLOSURE and a WARNING BEFORE you use this tool.
If you tell a seller or a sellers real estate agent that you have cash to close this loan they will believe you and most likely take your offer which means you will have to put down earnest money and 100% of that money is at risk of being LOST if you do not perform. It is not reasonable for you to think that we at USA Private Money can produce the cash you need to close this deal UNLESS YOU go through the PRE-APPROVAL process with us. CLICK HERE to submit a pre-approval request.
The question is...DO YOU HAVE CASH IN YOUR BANK ACCOUNT TO CLOSE THIS DEAL? If you don’t, you can certainly do a wholesale deal and yes you have access to $500,000 that can be used. However you also need to know you will need to have your end buyer ready to pay cash and send that money to the title company BEFORE we send our funds into close 100% of your purchase price of the home. CLICK HERE for a short video explanation to remind you how this works.
We can and will give you a “Proof Of Fund” but what most investors really need is a Pre-Approval letter. A pre-approval is not a piece of paper, it’s a process that takes us a few hours to complete, we collect your borrower and entity documents and all that is remaining will be the property documents you will give us once you are under contract. A pre-approval from USA Private Money gives you the confidence you need to go out with a real estate agent and make offers that you can in fact perform on. We help 100’s of investors get Pre-Approved each year and we’ll be happy to help you. CLICK HERE to submit a pre-approval request.
In summary, you understand that if you do not have access to the money to pay cash for the home or you do not have a buyer lined up for a wholesale deal that you WILL LIKELY LOSE 100% of your EARNEST MONEY if you use the Proof of Funds letter. You also understand this can be AVOIDED by simply getting PRE-APPROVED. If you use the Proof of Funds letter YOU ASSUME 100% OF THE RISK and RELEASE USA PRIVATE MONEY FROM ANY AND ALL LIABILITY or LOSS that you may have.
When you input your name and email address your are agreeing that you are signing this disclosure electronically. You understand that a record will be sent to USA Private Money of your acknowledgement of the risks known or unknown.
DO NOT PROCEED WITHOUT READING THE ABOVE DISCLOSURE or IF YOU DON'T AGREE WITH THIS DISCLOSURE AGREEMENT.