Buying a house in Cash - How harsh are solicitors?

kris1975

I'm cash buying a house, except that i've spent the last year out of the country freelancing. This equates to around 40% house value, it is also in a foreign bank account.

I've received the rest of the cash through parents savings over the last 20 years or so which equates to 60%

How will I explain this to solicitors?

princeofpounds

If I were you, I would build in a time buffer for anti-money laundering procedures, as you already tick a few boxes. i.e. appoint solicitor, explain source of funds and onshore money early in the process, so that it's all done and dusted when you come to talk contracts.


I wouldn't imagine there is going to be any problem besides the time delay, but you might need to produce evidence such as source of foreign earnings (payslips etc.), source of gift (bank transfer records or letter). Your solicitor may well also talk to your bank about the transfer.


Note that this can happen without you being explicitly told about it; it is an offence to tip off the subject of investigation, so communication might be a bit frustrating.


Frankly no high street solicitor is going to have much of a clue whether such things are genuine either, but at least they will have covered their back by ticking their own boxes, which is all it's really about anyway.

tommyboy11

I've done it and my solicitor made me sign a doc explaining where the dosh came from. He explained it was an anti-money-laundering thing and kept in house for their files only, unless audited and requested by her majesty. HTH

ognum

Just be honest, provided all the cash is legitimate you will have bank statements and contracts of employment if needed.

All I have ever done is provide a current bank statement and a signed explanation of where the funds have come from paper.

Explanation of funds could be earned income, inheritence, cash gift etc