Proving the source of your mortgage deposit

Katerina Galkina · EN · 07/10/2026

Explain how the money was generated

A statement showing a sufficient balance establishes that funds exist, but may not establish their origin. Prepare a clear chain for a property purchase: earnings, a sale or inheritance → the owner's account → transfer → your account → the property payment.

The SRA explains ↗ that solicitors must check identity and the source of funds. The lender, estate agent and legal firm perform their own checks; approval by one does not remove another's requirements. Do not wait until exchange of contracts to disclose an overseas source or a family gift.

Gather evidence for each source

For salary savings, prepare statements and payslips covering the period requested. For a property or other asset sale, gather the sale agreement, ownership evidence, proof of payment and the subsequent transfer trail. An inheritance requires estate documentation and evidence of distribution.

For business-generated funds, discuss accounts, tax documents and the legal basis for taking money out of the company. Company funds do not become personal simply through a transfer to a personal account. The Law Society's AML guidance ↗ provides context for checks extending beyond the most recent transaction.

Make a short schedule of amounts, dates, currencies and accounts. Include currency-conversion records and ask in advance about translations of foreign documents. Avoid cropping statements so that account ownership, dates or linked transactions disappear.

Document a relative's contribution separately

Explain immediately whether assistance is an unconditional gift, a loan or an investment carrying an ownership interest. Money you have promised to repay must not be presented to the lender as a gift. Check whether the lender accepts this donor and the particular country of origin.

The donor may be asked for identification, statements and evidence showing how they originally obtained the money. A lender may also require its own gift declaration. For example, Nationwide publishes deposit-evidence requirements ↗. Its statement periods and thresholds are not universal rules.

Arrange checks before transferring funds

Ask the conveyancer for a written evidence list, expected checking time and secure submission method. Discuss missing documents early if transfers are complicated. Routing money through additional relatives usually makes the evidence trail less straightforward.

Confirm whether payments can come directly from the donor or must arrive from the buyer's nominated account. Verify the legal firm's payment details through a previously established channel, especially after an email claiming that details have changed. Do not divide transfers to evade checks: this does not remove the firm's obligations and may delay completion. Allow time for translations, bank enquiries and currency settlement.