Proof of Funds for Real Estate Investors: What to Send and How to Protect It

When you ask a wholesaler, seller, or deal source for a property address or a contract, one of the first questions is often: can you actually close? A proof of funds (POF) document answers that question. Having one ready, and knowing how to share it safely, makes you easier to work with.

What counts as proof of funds

The right document depends on how you plan to close.

• Cash buyers: a recent bank or brokerage statement showing available funds, or a letter from your bank confirming available funds.
• Hard money or private money: a pre-approval, term sheet, or commitment letter from the lender, often paired with a statement showing your down payment and reserves.
• Loan-based purchases: a pre-approval from your lender for the purchase price and loan type.
• Line of credit or HELOC: a recent statement showing the available credit.

Many deal sources want a document dated within the last 30 days or so and in the name of the person or entity making the offer. If you buy through an LLC, make sure the name on the POF matches the buyer on your offer, or be ready to explain the connection.

What to protect

A deal source typically needs to see the institution, the account holder's name, the date, and the available balance. They do not need your full account numbers.

• Redact account and routing numbers. Leave the last four digits at most.
• Never send your Social Security number, online banking passwords, or login codes to a deal source. A legitimate deal source will not need them.
• Be careful with unsolicited requests. If someone wants your POF before sharing basic information about the property or their role in the deal, slow down.

How to send it

• Use a password-protected PDF, a secure upload link, or another method you and the deal source agree on.
• Do not post it in public social media groups or open message threads.
• Send it with your name, entity name, phone number, and the property address so it is easy to match to your offer.

Earnest money is a separate question

POF shows you can close. Earnest money shows you are committed to this deal. Know who will hold the deposit (usually the title company named in the contract), when it is due, and when it becomes non-refundable under your contract. On the Florida Realtors/Florida Bar "AS IS" residential contract, the initial deposit is due within 3 days after the effective date if the blank is left empty, and the buyer can cancel during the inspection period, which defaults to 15 days if left blank.

When a Florida real estate broker holds an escrow deposit, state rules require it to be placed in escrow no later than the end of the third business day after the broker receives it.

Keep it current

A POF that is several months old may not be accepted. Update it when your balances change, and let your deal sources know if your plan to close changes, for example from cash to hard money.

What POF does not do

Sending proof of funds does not obligate you to buy, and receiving it does not guarantee a deal. Every transaction is still subject to the contract, due diligence, title review, and the agreed terms.

If you are building your buyer profile, see our off-market due diligence checklist for Polk County and join our buyer list so we know your criteria.

For general education only. Not legal, tax, insurance, or financial advice. Laws, rates, and program rules change; verify current requirements with the official source or a qualified professional before relying on them. Information current as of October 2026.

Frequently asked questions

What is a proof of funds letter in real estate?

It is a document, usually a recent bank or brokerage statement or a letter from a bank or lender, showing that a buyer has the money or financing to close a purchase. Sellers and wholesalers often ask for it before sharing property details or accepting an offer.

Should I redact my bank statement before sending it?

Yes. Mask full account and routing numbers. A deal source typically only needs the institution, account holder name, date, and available balance.

Can a hard money pre-approval count as proof of funds?

Often, yes, especially when paired with a statement showing your down payment and reserves. Whether a particular seller or wholesaler accepts it is up to them.

How do I protect myself from wire fraud at closing?

Save your title company's phone number before closing, verify wiring instructions by calling that number, and treat any emailed change to wiring instructions as a warning sign. The CFPB also notes email is not a secure way to send sensitive financial information.

How recent does proof of funds need to be?

Many deal sources want a document from roughly the last 30 days, but there is no single rule. Ask what they accept and keep yours updated.