Hard money application

[Will Moore]

I have recently received some real estate investment training and they have been telling us in class that to satisfy hard money lenders, all we have to do is to submit an app, get approved and print off the proof of funds letter to show we have available funds for the transaction. 

I just found this statement from one of the investor websites and it has been pretty much what I was thinking since the beginning. When they told us how to get a proof of funds letter in class, it seemed kind of sketchy.  Will someone who has gone through the process read the statement below and let me know if you agree? Because it sounds more realistic than what they told us in training. It seemed they tried to make parts of this whole process easier than it actually is. Trying not to be pessimistic, but don't want to be naïve either.

Thanks

"It used to be that you could get a letter from a transactional funder and use the letterhead as proof of funds and they would accept it. Nowadays, it’s few and far between that a broker will accept a letter like that. They know that they are easy to get and that you can buy them on the internet, so what’s the point?

Nowadays, most REO brokers want to see a copy of a bank statement with an amount of money in it or they want to see something that’s printed off a statement of an account where funds are actually held".