Decision in principle And proof of funds

[MrsJ28903]

I have our DIP ready - will I also need proof of funds? A lot of our deposit is coming from equity so would proof be the offer on that house and proof of outstanding mortgage? Our savings are spread across lots of accounts. Would it be best to pool these?

If you’re moving up the ladder, it might not be required. I think it’s more common with cash or first time buyers to request a proof of funds.

I wouldn't move money around tbh, as the solicitor/conveyancer will want a paper trail of where any cash has come from (bank statements or policy documents for instance) so you'll still need to show proof of where it is now even if you move it elsewhere. As for the equity, I agree with your idea of the outstanding mortgage and you'll presumably have a memorandum of sale from your EA stating the sale price for your current property.

Good luck with the move!

Thanks. I was just a bit worried about producing 5-10 different bank account statements! We have a lot of it in a variety of regular saver accounts and so on!

I found the paper trail of proof a flipping nightmare last time we bought a property, we hadn't had to do that before! Even worse for us, a chunk of our money came from an inheritance and the conveyancer asked for a letter from the executor - their eyes visibly narrowed with doubt on hearing that one of us was the executor!

It's not their fault, it is money laundering regs that require them to do it but I did find it a hassle!.

When we bought our first house - over 30 years ago - mortgages were a lot harder to get and you generally needed to be a regular saver with a building society to get one. We had numerous accounts too, all with bits of money going in every month to maximise our chances!