Many times people will come to us to buy a house and they plan on using the cash they have on hand. Maybe they keep the cash in a safe, under the mattress, safe deposit box or even buried in the back yard. Wherever they keep that cash it can’t be used for a down payment. We would need that money in the bank for at least 60 days to make the funds sourced and seasoned.
A lender is going to ask you about the cash deposit and if you can’t prove that it came from a source like bill of sale then they will not allow you to use it for your down payment.
If you do have cash that you plan on using for a down payment, then please remember to get that money into the bank as soon as you can.
Check out this episode to learn more.