Set cash-to-close and reserve limits
See this course’s project requirements
A fictional homebuying decision file with ownership costs, cash to close, comparable loan estimates and a closing discrepancy log.
Keep your working files in your own notebook or software. Save a private description, checklist, and work link in My Proof.
What to include
- A rent/ownership comparison with separate cash and principal columns.
- A cash-to-close and remaining-reserve worksheet.
- An annotated loan-estimate comparison sheet.
- A points/credit cash-flow comparison with break-even and limitations.
- A closing-disclosure reconciliation and clarification log.
- A completed fictional home-finance decision file.
Review and revise
Use these criteria to check your work and choose what to improve.
- All supplied records reconcile and the decision uses the named case rules.
- Calculations show units, intermediate values and a second check.
- Changed-input practice revises the affected result and identifies uncertainty.
- The final project combines six lesson records, separates fictional assumptions from current rules, and states a supported next step.
Want more background?
The idea in everyday life
This is an original fictional practice case. No account, payment, personal record or outside participation is required. Savings $20,000; proposed down payment $12,000; estimated closing charges $4,000; minimum post-close reserve $4,000.
A down payment is only one use of purchase cash; protected reserves should remain after closing.
Set cash-to-close and reserve limits — worked practice
A down payment is only one use of purchase cash; protected reserves should remain after closing.
Use paper or a local table; label all amounts as fictional USD unless the case names another unit. Savings $20,000; proposed down payment $12,000; estimated closing charges $4,000; minimum post-close reserve $4,000.
Closing cash and reserve inputs
Paste at A1.
| AInput or record | BSupplied value |
|---|---|
| Savings USD | 20000 |
| Down payment USD | 12000 |
| Estimated closing charges USD | 4000 |
| Minimum retained reserve USD | 4000 |
Copy as plain text
1. Step 1: List starting savings and three uses
List starting savings and three uses.
You should see: $20,000 available; down payment, charges and reserve.
A down payment is only one use of purchase cash; protected reserves should remain after closing.
2. Step 2: Add down payment and charges
Add down payment and charges.
You should see: $16,000 needed at closing before any deposits/credits.
Keep this intermediate result so the final decision can be checked.
3. Step 3: Subtract closing uses from savings
Subtract closing uses from savings.
You should see: $4,000 remains.
Keep this intermediate result so the final decision can be checked.
4. Step 4: Compare remaining cash with the stated reserve
Compare remaining cash with the stated reserve.
You should see: The reserve is met exactly, with no surplus for an extra unlisted cost.
Keep this intermediate result so the final decision can be checked.
What to finish
A cash-to-close and remaining-reserve worksheet.
Watch for this
Treating every saved dollar as available for the down payment.
How can I tell I understand it?
Calculate purchase cash needs and test a protected post-close reserve on the supplied changed case while preserving the stated rule and checking the final record.
Quick knowledge check
Answer all 3 questions. Get at least 2 right and the lesson completes automatically.
You’ll get an explanation for each answer. Signed in? Your results save to your account.
Pass the check. We’ll save the progress.
Answer all 3 questions above and get at least 2 right. You can review the explanations and try again.
Go to the knowledge checkTools, templates, and lesson sources
Tools and templates
Tools open in a new tab so you can keep your place here.
Sources and further reading
Explore the references behind this lesson.
Source & access notes · checked 2026-10-01
Official page opened/read during Money expansion authoring; checked the relevant concept and access state. These sources do not establish funding eligibility.
Access: Readable official webpage inspected with the web reader on 2026-10-01. No interactive-tool operation is claimed.
Reuse: Original fictional practice, questions and calculations; paraphrased concepts with a source link. No source exercise copied.
Source & access notes · checked 2026-10-01
Official page opened/read during Money expansion authoring; checked the relevant concept and access state. These sources do not establish funding eligibility.
Access: Readable official webpage inspected with the web reader on 2026-10-01. No interactive-tool operation is claimed.
Reuse: Original fictional practice, questions and calculations; paraphrased concepts with a source link. No source exercise copied.
Report a problem with this lesson
Tell us what went wrong. Please leave out personal information and private project contents.