We recently had an experience that serves as a valuable reminder to always verify “proof of funds” and be wary of elaborate stories.
An agent was working with a buyer who claimed to have a $2 million inheritance and wanted to surprise her mother with a new home. The buyer even showed what appeared to be proof of funds on her phone, which, in hindsight, was easily faked.
A contract was written and accepted, but the buyer never provided the required proof of funds or earnest money deposit. Despite numerous excuses, the buyer ultimately vanished, completely ghosting the agent.
Later, the agent remembered the buyer mentioning another builder. A quick call to that builder revealed the exact same scenario: the buyer had signed an offer and contract but never submitted the earnest money.
This experience highlights the importance of:
Always independently verifying proof of funds. Don’t rely solely on screenshots or verbal assurances.
Being cautious of overly complex or emotional stories. While some situations are genuine, these can sometimes be a tactic to distract from a lack of legitimate funds.
Trusting your instincts. If something feels off, it probably is.