[{"@context":"https:\/\/schema.org\/","@type":"Article","@id":"https:\/\/www.london-law.co.uk\/proof-of-funds-estate-agents\/#Article","mainEntityOfPage":"https:\/\/www.london-law.co.uk\/proof-of-funds-estate-agents\/","headline":"The Estate Agent has asked me for proof of funds. Why? And do I have to provide them?","name":"The Estate Agent has asked me for proof of funds. Why? And do I have to provide them?","description":"What are the reasons that the estate agent asked you for proof of funds? The reason that your estate agent has asked you for proof of funds is two-fold: Estate Agents act for the seller and not the buyer. It is their job to market the property that they are selling, to achieve the best [...]","datePublished":"2020-03-31","dateModified":"2026-01-26","author":{"@type":"Person","@id":"https:\/\/www.london-law.co.uk\/author\/coby\/#Person","name":"coby","url":"https:\/\/www.london-law.co.uk\/author\/coby\/","identifier":17,"image":{"@type":"ImageObject","@id":"https:\/\/www.london-law.co.uk\/wp-content\/litespeed\/avatar\/095b94eeb56f604e46bfd6673afa9194.jpg","url":"https:\/\/www.london-law.co.uk\/wp-content\/litespeed\/avatar\/095b94eeb56f604e46bfd6673afa9194.jpg","height":96,"width":96}},"publisher":{"@type":"Organization","name":"AlexanderJLO London Law","logo":{"@type":"ImageObject","@id":"https:\/\/www.london-law.co.uk\/wp-content\/uploads\/2018\/03\/ajlo-logo.png","url":"https:\/\/www.london-law.co.uk\/wp-content\/uploads\/2018\/03\/ajlo-logo.png","width":460,"height":275}},"image":{"@type":"ImageObject","@id":"https:\/\/www.london-law.co.uk\/wp-content\/uploads\/2020\/03\/The-Estate-Agent-has-asked-me-for-proof-of-funds.jpg","url":"https:\/\/www.london-law.co.uk\/wp-content\/uploads\/2020\/03\/The-Estate-Agent-has-asked-me-for-proof-of-funds.jpg","height":853,"width":1280},"url":"https:\/\/www.london-law.co.uk\/proof-of-funds-estate-agents\/","commentCount":"11","comment":[{"@type":"Comment","@id":"https:\/\/www.london-law.co.uk\/proof-of-funds-estate-agents\/#Comment1","dateCreated":"2025-04-15 20:49:42","description":"Thank you for your interest in our blog Phil.\r\n\r\nTechnically there is nothing to stop the agents using the information in this way and I\u2019m sure some more unscrupulous establishments do but as to whether it\u2019s a scam I think not. The government has increasingly cracked down on anti-money laundering since 9\/11 and this is simply another example of the same. Its main aim is, in my opinion, to try and stop criminal activity rather than to drive up house prices.\r\n\r\nPeter Johnson\r\nSenior Partner","author":{"@type":"Person","name":"Peter Johnson","url":"https:\/\/www.reviewsolicitors.co.uk\/48002929\/peter-charles-johnson"}},{"@type":"Comment","@id":"https:\/\/www.london-law.co.uk\/proof-of-funds-estate-agents\/#Comment2","dateCreated":"2025-04-14 12:04:34","description":"My son is buying a house and has a mortgage in principle and savings for a deposit. Proof of funds means the seller\u2019s agent will know exactly how much money my son has and what is maximum budget is. What stops the agent using this information to encourage the seller to reject lower offers? Is this a scam to drive up house purchase prices?","author":{"@type":"Person","name":"Phil C","url":""}},{"@type":"Comment","@id":"https:\/\/www.london-law.co.uk\/proof-of-funds-estate-agents\/#Comment3","dateCreated":"2025-03-30 20:35:42","description":"Thank you for your interest in our blog Andrew.\r\n\r\nThe retention of proof of funds documents is primarily governed by money laundering regulations. The Money Laundering, Terrorist Financing and Transfer of Funds (Information on the Payer) Regulations 2017 set the framework for how financial records should be maintained.\r\n\r\nUnder current regulations, estate agents and solicitors are required to retain these documents for a period of at least five years following the end of a business relationship or the completion of a transaction. The Property Ombudsman recommends a period of six years for Estate Agents and the Law Society, twelve years for Solicitors. This means that even after the sale or purchase is finalised and business concludes, the records should still be accessible for this duration.\r\n\r\nPeter Johnson\r\nSenior Partner","author":{"@type":"Person","name":"Peter Johnson","url":"https:\/\/www.reviewsolicitors.co.uk\/48002929\/peter-charles-johnson"}},{"@type":"Comment","@id":"https:\/\/www.london-law.co.uk\/proof-of-funds-estate-agents\/#Comment4","dateCreated":"2025-03-22 10:56:04","description":"Hi Peter,\r\nAs a follow up to Nicholas\u2019 question what do Estate Agents actually do with the proof of funds information they obtain and how long are they legally entitled to keep it?\r\nMy wife and I are financially supporting our daughter in buying a property. We have supplied numerous hard copy statements to the agent which show where the funds are currently held across multiple accounts.\r\nI\u2019m a little concerned, like Nicholas, about identify theft and fraud especially as relationships with estate agents can easily deteriorate.\r\nIn short, when can I request the funds information to be returned? After exchange of contracts or completion? Presumably I must have some legal rights here under Access to Information.","author":{"@type":"Person","name":"Andrew P.","url":"http:\/\/AlexanderJLO%20Solicitors"}},{"@type":"Comment","@id":"https:\/\/www.london-law.co.uk\/proof-of-funds-estate-agents\/#Comment5","dateCreated":"2024-09-06 06:11:12","description":"Dear Nicholas.\n\nThank you for your enquiry. Unfortunately estate agents like solicitors are required to carry out various checks by law.\n\nYour own lawyer should be able to advise on how to deal with this. \n\nPeter Johnson \nSenior Partner","author":{"@type":"Person","name":"Peter Johnson","url":"https:\/\/www.reviewsolicitors.co.uk\/48002929\/peter-charles-johnson"}},{"@type":"Comment","@id":"https:\/\/www.london-law.co.uk\/proof-of-funds-estate-agents\/#Comment6","dateCreated":"2024-09-05 11:42:02","description":"I HAVE MY FUNS IN AN   N. S. &I. DIRECT SAVER ACCOUNT\r\nI WISH TO KNOW THE SAFEST WAY I CAN PROVIDE EVIDENCE OF FUNDS TO AN ESTATE AGENT WITHOUT RISKING THE THEFT OF MY IDENTITY AND FUNDS\r\nI. E. THEY SUGGEST PAPER STATEMENTS BUT I CURRENTLY SHARE A LETTER BOX AT HOME AND I DON'T WISH THEM TO DO IT BY EMAIL  AS  RISK OF HACKING.\r\nI SUGGESTED THEM SENDING IT TO MY BANK BUT THE BANK ARE PAPERLESS AND THEREFORE CANNOT PRINT IT OFF FOR ME TO PHYSICALLY COLLECT FROM THEM\r\nCOULD N. S. AND I. POSSIBLY SEND IT TO MY (CONVEYANCING) SOLICITOR ?\r\n THANK YOU","author":{"@type":"Person","name":"NICHOLAS ROBRT GILL","url":""}},{"@type":"Comment","@id":"https:\/\/www.london-law.co.uk\/proof-of-funds-estate-agents\/#Comment7","dateCreated":"2024-06-17 10:08:50","description":"we are looking to buy a property in scotland. we have exchanged and due to move in two months. Some agents will not let us view unless we have cash in the bank.........really?","author":{"@type":"Person","name":"james felsing","url":""}},{"@type":"Comment","@id":"https:\/\/www.london-law.co.uk\/proof-of-funds-estate-agents\/#Comment8","dateCreated":"2024-06-04 11:34:28","description":"Thank you for your interest in our blog Timothy.\n\nThe regulations may be interpreted subjectively by different law firms in different ways. I don\u2019t think we have enough information nor would we advise through our blogs as to the appropriate response in this situation I\u2019m afraid.\n\nPeter Johnson\nSenior Partner and Money Laundering Responsible Officer.","author":{"@type":"Person","name":"Peter Johnson","url":"https:\/\/www.reviewsolicitors.co.uk\/48002929\/peter-charles-johnson"}},{"@type":"Comment","@id":"https:\/\/www.london-law.co.uk\/proof-of-funds-estate-agents\/#Comment9","dateCreated":"2024-06-04 07:54:23","description":"I am having trouble with money laundering my parents gave me money from there account which I gave 2years statements then they queried it due to parents taken 2 \u00a310.000 and one \u00a35000 pounds out of account my parents had taken money out of account for a family holiday due to my dad been ill to have a last holiday but they deposit it back into account as holiday was cancelled due to my dad seriously ill my solicitor is saying I can't use holiday for \u00a325.000 for money laundering purposes what can you advise please as I've been waiting 13 months to buy premises","author":{"@type":"Person","name":"Timothy Constable","url":""}},{"@type":"Comment","@id":"https:\/\/www.london-law.co.uk\/proof-of-funds-estate-agents\/#Comment10","dateCreated":"2023-10-04 15:30:27","description":"Thank you for your interest in our blog, Estelle.\r\n\r\nThe answer to your question depends on the agent\u2019s policy and their instructions from their client, the seller.\r\n\r\nThat being said, in my opinion it is unusual for an agent to ask for proof of funds before a viewing.\r\n\r\nMatt Johnson\r\nProperty Partner","author":{"@type":"Person","name":"Matt Johnson","url":""}}],"about":["Blog","Conveyancing","General Interest"],"wordCount":713,"articleBody":"What are the reasons that the estate agent asked you for proof of funds?The reason that your estate agent has asked you for proof of funds is two-fold:Estate Agents act for the seller and not the buyer. It is their job to market the property that they are selling, to achieve the best price and the best buyer for the property. This is the first reason that you may be asked for proof of funds, to show that you can actually afford the property. Often a simple bank statement or, when funds are held in investments such as ISA\u2019s, bonds, or shares, a statement to show their value will suffice to satisfy the agent of this first criteria. If you cannot show that you can afford the property it makes you a less attractive option for a seller and the agent may advise their client to look for an alternative. Remember it\u2019s not a matter of the agent looking to be nosey, they are simply doing their job.The second reason is a regulatory one. Since 10th January 2020 when the EU\u2019s Fifth Money Laundering Directive became active, Estate Agents (and in certain circumstances Letting Agents) are required to obtain proof of funds from you when you submit an offer to buy a property. If the estate agent asks for proof of funds after you put an offer in, then they are not only checking that you have the money to actually pay for the property, but also that you haven\u2019t acquired the money through criminal means. You must provide proof of funds if asked for it at this stage.How to show proof of funds to the estate agent?Proof of funds can be shown with:An agreement in principle\/mortgage in principleBank statements of your deposit amount (for mortgage buyers)Bank statements of your cash amount (for cash buyers)Evidence of you selling a property (if using the funds to buy the new property)Evidence if the money has been giftedThe estate agent can ask you to provide more details of where your money has come from. This is normal practice as all estate agents must conform to the Money Laundering Regulations, and doing thorough checks is standard practice.In certain circumstances, the Estate Agent may ask for further proof. This will depend on where you got the money for your deposit or the property\u2019s price (if you are a cash buyer), the agent may ask for further proof to show that the money has come from where you have claimed.What is further proof that the agent may ask for?A letter from whoever gifted your money (for example your parents have given money towards your deposit, won the lottery, left money in a will)Further bank statements from the past months\/years (to show how your money has built up over time)Evidence or receipts for gambling winnings, sale of shares, or other large amounts of money in your bank accountBest practice is to keep evidence of where all the funds going towards your property purchase have come from; that way you can be prepared if your estate agent asks for it.When you are buying a property this is not the only time that you will be asked to provide proof of funds. Your lender (via your broker or direct if you are not using a broker), as well as your lawyer, will all require the same or similar information. It is best to be prepared in advance and not to get frustrated by their requests \u2013 remember they are only doing their job!If you are looking for a first rate conveyancing service why not give one of Alexander JLO\u2019s specialist property lawyers a call on 020 7537 7000, click on the get a quote button or email quote@london-law.co.uk for a free, no-obligation quotation? Come and see what we can do for you.This blog was prepared by Alexander JLO\u2019s property partner Matt Johnson on 31st March 2020 and is correct at the date of publication. Matt has many years of experience of dealing with property work and specialises in new build and shared ownership properties.\u00a0 His profile on the independent Review Solicitor website and be found here"},{"@context":"https:\/\/schema.org\/","@type":"BreadcrumbList","itemListElement":[{"@type":"ListItem","position":1,"name":"The Estate Agent has asked me for proof of funds. Why? And do I have to provide them?","item":"https:\/\/www.london-law.co.uk\/proof-of-funds-estate-agents\/#breadcrumbitem"}]}]