Proof of Funds Source: How to Prepare Correctly

Why sellers, banks and notaries ask for proof of funds ✅

When you buy property in Georgia, you may be asked to prove the origin of the money used for the purchase. This is a routine step for risk prevention and compliance with anti‑money‑laundering rules. Preparing documentation ahead of time reduces delays and stress.

Who needs to prepare proof of funds

• Local residents and foreign buyers
• Investors purchasing property for rental or resale
• Buyers using mortgages or instalment plans
• Anyone making large cash deposits

Typical documents that work well 📑

• Income statements or employment confirmations
• Tax returns for self‑employed individuals or business owners
• Bank account statements showing accumulation and transfers
• Sale agreements for previously sold assets (property, vehicles)
• Gift agreements or inheritance documentation when applicable
• Loan or mortgage contracts if part of the purchase is financed

The required set depends on the party requesting the proof and your buyer status.

Step‑by‑step preparation plan 📝

1. List every source of funds — salary, business income, sale proceeds, savings, gifts, loans.
2. For each source, gather at least one supporting document. Multiple papers are better than one.
3. Order bank statements by date to show the flow of funds into your account.
4. For international transfers, keep SWIFT references and bank confirmations.
5. If funds are a gift, prepare a simple gift agreement and brief explanation of the relationship.
6. Write short explanatory notes describing unusual or large transactions — clarity helps speed up checks.

Practical tips for common buyer profiles 🔍

• Employed buyers: an employer letter plus recent payslips and bank statements is usually sufficient.
• Business owners: clear accounting records and tax filings help verify ongoing revenue.
• Inherited or gifted funds: provide legal documents and any related probate or notarised agreements.
• International sellers or buyers: translate key documents into English or Georgian if requested.

Common mistakes and how to avoid them ❗

• Presenting only cash receipts without bank traces raises red flags.
• Large intra‑account transfers without explanations create uncertainty.
• Collecting documents too late may block or delay closing.
• Missing notarised agreements when a gift or inheritance is the source.

Quick checklist before submitting documents ✅

• Verify dates and amounts on all statements
• Ensure every source has at least one supporting document
• Prepare explanations for any atypical transfers
• Notarise or translate documents if requested

Communication and empathy 🤝

Requests for source of funds can feel intrusive. Remember this is standard practice to protect everyone in the transaction. A transparent and organised approach usually resolves the process quickly. If you feel unsure, start with basic documents and add details as needed.

How BuyHome can help

We assist buyers in Georgia to prepare a solid set of documents and coordinate with banks, notaries and sellers to avoid delays. Start by organising your basic documents: bank statements, income proof and short explanatory notes. If you need personalised support, our agents can guide the process and review your package.

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Contact BuyHome for pragmatic help choosing and securing property in Georgia — we are ready to assist.