Assets
Assets
Assets are checking accounts, savings accounts, 401Ks, IRAs, pensions, stocks, bonds, mutual funds, and cash value life insurance policies. Not all home loans require you to have a significant amount of assets, but the more assets you can show will strengthen your loan for underwriting approval. To be approved for a home loan you must provide 2 consecutive months statements for each asset account including all pages.
Cash Deposits
When applying for a home loan it is best to avoid making cash deposits into your personal accounts. All deposits into personal accounts must be verified by direct deposit or check stub to be able to be accepted for a home loan transaction. If you deposit cash into your personal accounts and it cannot be verified, you cannot use that cash towards the deposit, down payment, or closing costs. Unverified cash deposits cannot be used in any capacity when purchasing a home.If you receive numerous cash deposits into your personal account, it is best to open a 2nd checking account to accept those deposits and avoid using that account to qualify for a home loan. If you must use cash deposits towards your home loan, you have to let the cash season in your bank account for 60 days or longer, so you can provide 2 months of bank statements that no longer show the cash deposits.
You can deposit cash into business bank accounts, that is acceptable if you have a verifiable business.