One of the benefits of getting prequalified for a loan with a hard money lender like CCC Holdings, is you can get proof of funds letters to support your purchase offers.
Normally, you need a proof of funds letter when you are making an offer on bank-owned properties – REO or Real Estate Owned properties. Banks want to make sure you are a legitimate buyer with the ability to close before they will entertain your offer.
So how do you get a proof of funds letter?
With CCC Holdings, once you submit a loan application, I can tell you the maximum loan amount I would offer subject to the real estate. That maximum number is based on your income and your ability to make the monthly loan payment.
How much should show on the proof of fund letter?
I typically recommend to investors to have the amount of their anticipated offer on the proof of funds letter. For instance, say I preapproved you for $200,000 subject to the real estate. If you are looking at making an offer on a property of $130,000, I would recommend that the proof of funds letter says $130,000 on it. If next week you are making an offer of $140,000 on another property, I suggest you request a new letter from me for that amount. If one month later you are offering $140,000 again on another property, I suggest you request a new proof of funds letter with a current date.
The proof of funds letter is an important element of your credibility folder to help you get more of your offers accepted. If you would like to get preapproved for a loan and one of more proof of funds letters, please follow this link. https://www.hardmoneypgh.com/loan-request/
Please contact me if you would like to discuss a project by clicking here: https://g.page/r/CTcMtkHdqQHYEBA