How to Present Proof of Funds for 100% Cash Real Estate Transaction?

Your banker could provide you with a letter that states you have the funds necessary in liquid assets to but this house- without saying how much you have.

Even if the seller knows I have ten times that amount of money they do not know how much I am willing to pay. Don't say "I only have $300,000". Tell them you are willing to pay $300,000 for their house- if they don't want that deal you will buy a different house from someone else.

Yes they can sue you for specific performance and there have been many cases where a judge will force you to go through with the transaction. Also, the money you deposited into their account is of your own free will and you tried to use it as a "sorry you couldn't get my house - let's call it even!" bribe of sorts, so why should they return it? For all you know, they sold their house, borrowed money for the down payment etc. I'm sorry you're attached to your home and at the last minute decided to back out, but you have a legal binding contract signed by you and the buyers and they have a right to what is promised in that contract. You will go to court and a judge could go either way (seen it happen). Why would you deposit more cash into the buyer's account? A bribe is a bribe is a bribe. Leave it alone and hire yourself a very good real estate lawyer. I really hope you're a troll...

Since you're buying outright and not financing at all, I would think what you would need to show would be up to the seller. However, bank statements showing you've had the money for a couple of months would be the easiest and most logical thing to ask for.

Yes, the seller will see how much money you have, but if you're making a solid offer on the home (i.e., you're not lowballing) it shouldn't be an issue. You could potentially move all but the $300K you want to spend on the home and maybe a little more to a separate account - that way you have the $300K in the bank and the account history is hopefully at least a few months old - and they'll never see how much other money you have. I would ask your agent before doing that though.

I agree with your perception. You bid $300,000, then provide your bank statement balance which shows $500,000, then the seller counteroffers for $350,000, knowing that you will have no problem coming up with the extra $50,000.

Tell your agent that you will not provide any "proof of funds." Tell your agent that you will make a no-contingency (i.e. cash) offer, to close in 30 days, with liquidated damages of $10,000, then attach a $10,000 check. ANY seller, even the most idiotic, will not pass on your offer, unless the seller simply doesn't believe your offer is high enough.