Physical cash presents challenges in mortgage underwriting because lenders must verify the source of funds. If you have cash savings at home and suddenly deposit it into your account, the lender will likely require documentation showing where it came from. If it cannot be sourced, it may not be usable for qualification. This is one of the most common issues I’ve seen over the years — especially with buyers who operate primarily in cash. The safest approach is to deposit funds well in advance of starting the mortgage process and maintain a clear paper trail. In lending, traceability matters.
You can also speak with your loan officer, who probably has experience with many buyers who have cash at home. More often than not, they have solutions.
Please consult your Mortgage Advisor for guidance specific to your situation before making changes.
