How do you use cash for a down payment on a home?

(I know this doesn't belong in this subreddit but I'm sure quite a few of you fellas have some experience with this) So say ive been saving cash but haven't been keeping it in the bank for obvious reasons but I have enough to pay for a 20% down payment on a house. How would I go about doing this without being questioned?


Comments


[8 Points] triceracrops:

Try paying in hash coins. But really making a smaller down payment and ending up with a little higher interest rate might be worth it for less questioning. Also you are going to have to prove that you have a source of income thats high enough to to cover the monthly payment.


[7 Points] None:

Everything is questioned when you buy a house. As long as it is savings you should be fine, be prepared to answer a lot of questions.


[5 Points] agorathrow8080:

Just make sure its been there greater than 2 months with no in or out transactions. It won't be questioned. They only ask for 2 statements, if you have deposits tho in that time it will be questioned, same with withdraws.

I used to underwrite mortgages...not a mortgage officer, like the guy with the final say. So you should be fine


[6 Points] Hank_Vendor:

nooooooooooo

here's the thibg with cash. dobt put it in the bank. and don't use it to buy a house


[5 Points] BurningMan94:

Laser tag place.


[3 Points] None:

Gift from grandparents


[2 Points] pelyphin:

Convert cash to BTC. Tumble.

Then buy it on the darknet! No closing costs, never have to meet the owner, deal with realtors... all up front, one transaction, no bullshit.

Kidding aside, you can buy some property with BTC. I imagine there is still the same sort of scrutiny (and probably more intensive) that you're trying to avoid, though.

If you're big-time and you run the risk of forfeiting your new place (if they can make a case for it being purchased with drug money, I think, a given with your difficulties trying to establish a paper trail for the 25k), there are probably some legal tricks you can pull (ideally ahead of time) that will shield some of the assets.

Worth talking to a lawyer or looking into on some level, even if you aren't buying a house. Some of that money you're earning needs to be SAFE; it's hard having to start from scratch.


[1 Points] Theeconomist1:

Yes you'll need to explain where the cash came from. It's not a problem if the amounts match up to reported earnings - is it plausible you have 50-75K in cash laying around? If you are making decent money this is plausible. If you are making minimum wage - well you prob wouldn't qualify for a mortgage anyway. I have my own business that is legit and it was a lot of examination. I even had monies going between money management accounts I had to explain. It wasn't a problem for me but if it wasn't legit then prob an issue. They mainly wanted to make sure it wasn't proceeds from a loan. There's just a lotn of context that will make a difference on how it's viewed. But generally speaking banks want to know where the down deposit is coming from. If your income is commiserate with that type of cash it shouldn't be an issue. But if not, then yes you'll have a problem.


[1 Points] yalldontknowjack:

You need to create a stream of revenue.


[1 Points] topapito:

How long did it take you to save up that 20%? And why not just wait until you have the full amount to purchase a house? It seems to me your problem is going to be the same regardless of how much you have.

I do not ever recommend buying a house though...


[1 Points] LobsterSauce91:

Well the fastest way to launder money is through strip clubs. I know you probably don't know someone who owns one but if you did you could just ask to do this over a course of a few months and just give them a cut. It's fucking easy as cake. Strip clubs are all cash businesses so nothing is suspect. This allows a way to clean the money. The idea of laundering money is just as it seems. You get the dirty laundry -> wash it -> then reintegrate it back into your closet. You could reintegrate it by making an agreement with owner to give you a contact position at the club and simply be paid with your money. I don't think this is something you really need to do with 25k. There's much simpler ways to do that with such a low amount but when things get into the 500k range this is a widely used tactic.


[1 Points] 407throwaway:

All money has to be "seasoned" for several months, showing up on at least two bank statements. Get it into a checking account, sit on it long enough to get two statements that only show the balance NOT the deposit, write your lender a check for the down payment.


[0 Points] XanaxIsForLosers:

You'll be fine if you keep a set of clean set of bank accounts and put the cash in savings. Wait 60 days. If you have a legit source of income you'll be fine and no questions will be asked about the source of the money if you just say it's savings. Banks have occasionally asked for 12 months of bank statements on questionable files that fail automatic underwriting. If that happens you'll just have to wait 12 months.

If you have no legit source of income you have no chance of getting a loan, and even if you started laundering money now it'll take years before you can use that income to borrow against.


[-4 Points] druggieslut:

Um, seriously, how much cash would this be? Like ummmmmm.....

I've seen a house sell for $3000 before. Pretty much everyone has $1000 saved up, so no, no one will question you at all.

I've also seen houses sell for several million before. Yeah, that's gonna be suspicious as fuck.

I'm going to assume that you are trying to live in the ghetto and very very excited about living in the ghetto, and have no job at all, no legal income at all, as per all the threads I've seen lately that suggest that everyone on here are 15 to 21 year old vendors with no life experience at all who want to live in the hood.

Yeah, putting $2500 cash down on a house is going to look suspicious as fuck when you dont have a job.