Cash-to-Close & Reserves Planner

Closing costs and prepaids (2–4%), plus inspection, appraisal, and moving. The down payment is usually the biggest piece but not the whole number — plan the total so closing week is boring.

A post-close reserve of several months of full housing cost (jumbo lenders often require 6–12 months), plus a sinking fund for the known first repair on an older home. Reserve is the money you never spend to reach a bigger house.

Lower the price, not the reserve. Buying a bigger home by spending your safety net is how comfortable incomes become house-poor after one surprise repair.

Because the first repair — roof, sewer, drainage — isn't "if," it's "when." A sinking fund for the known project keeps a five-figure repair from wiping out your safety net in year one.

Lenders may count a portion of vested equity toward reserves, but volatile equity is risky to rely on the month you buy — a bad week can shrink it. Move what you'll actually need to cash as you near closing.

Run cash minus the table against your reserve target. If both don't fit, the price is too high — a quick check in a Real Estate Review confirms it before you write.