Your down payment is sitting in Brazil — savings from years of work, the sale of an apartment, or help from family. Bringing it to the U.S. is legal and done every day. But underwriters have one non-negotiable rule: every dollar of your down payment must have a paper trail. Money that appears without a story can't be counted — and can delay or sink a closing.
Here's how to move funds the underwriter-friendly way.
The Golden Rule: Seasoning
Money that has sat in your U.S. account for 60+ days (two full statement cycles) is considered "seasoned" — the lender stops asking where it came from. The single best move you can make: transfer the funds months before you shop, not days before you offer.
If the Money Arrives During the Process
Not seasoned? Still workable — you'll just document the journey:
- Proof the money was yours in Brazil — a Brazilian bank statement showing the balance before transfer.
- The transfer record — wire receipt or exchange-house documentation showing origin account, destination account, amount, and date.
- The U.S. deposit — your statement showing the funds arriving, matching the transfer.
Use a traceable channel: bank-to-bank international wire or a licensed exchange service that issues receipts. The exchange rate contract (fechamento de câmbio) paperwork works beautifully as documentation.
If Family Is Helping: The Gift Letter
Family gifts from abroad are accepted on most loan programs. The package: a signed gift letter (we provide the template) stating the amount, the relationship, and that no repayment is expected — plus evidence of the transfer from the donor to you (or directly to the closing agent). Some programs also ask for the donor's statement showing they had the money. Parents, siblings, and grandparents are the cleanest donors.
The Mistakes That Hurt
- Cash deposits. Physical cash has no paper trail — deposited currency generally cannot be used for a down payment. Keep everything bank-to-bank.
- Breaking transfers into many small pieces to stay under reporting thresholds — called structuring, it's illegal in itself. Send the real amount; reporting is routine and not a tax.
- Using a friend's account as a stopover. Funds passing through third parties lose their trail. Direct routes only.
- Last-minute transfers. International wires can take days and questions take longer — under contract is a stressful time to start.
What About Taxes and Reporting?
Bringing your own money to the U.S. is not taxable income, and banks' currency transaction reports are routine compliance — not a bill. Large foreign gifts may involve an informational IRS form (no tax due in most cases). Brazil has its own exchange rules on the sending side. We're not tax advisors — for large amounts, a quick conversation with an accountant who knows both countries is money well spent.
We've Seen Every Version of This
Sale proceeds, family gifts, savings moved over years, funds still in Brazil at application time — each has a documentation path. Tell us where the money is before you start shopping and we'll map the cleanest route, in Portuguese.
Frequently Asked Questions
How long does foreign money need to sit in my U.S. account?
60+ days (two statement cycles) makes it "seasoned" — no further sourcing questions. Transfer early and the topic disappears.
Can family in Brazil gift my down payment?
Yes, on most programs — with a signed gift letter and documentation of the transfer, sometimes plus the donor’s statement.
Is money I bring from abroad taxed as income?
Bringing your own funds is not taxable income; large foreign gifts may need an informational IRS form. For big amounts, confirm with an accountant who knows both countries.
Prepared by the Alvorada Mortgage, LLC team — a mortgage broker licensed in Georgia (#2137907) and Florida (#MBR5158). NMLS #2137907. Educational content; not a commitment to lend.