When applying for a mortgage, lenders evaluate your financial assets to ensure you can cover down payments, closing costs, and future emergencies. These holdings range from liquid cash in bank accounts to long-term investments and retirement funds, though some restrictions may apply to non-liquid property. Beyond just having the funds, applicants must provide verifiable documentation, such as bank statements, to prove their financial stability. The total amount required is not fixed, as it depends on your specific loan program, credit history, and the home's price. Ultimately, maintaining strong reserves beyond the minimum requirements enhances your pre-approval chances and positions you as a more secure borrower.