A down payment is only one part of the money needed to buy a home.
Before choosing your price range, answer two questions: What will I need to complete the purchase, and what will I have left afterward? Use the worksheet below to prepare for a useful financing conversation.
1. Give your savings three jobs.
Funds to close
Money available for your down payment and closing expenses.
Funds to settle in
Moving, utility setup and planned immediate work.
Funds to keep
Cash you intend to keep available for emergencies and other needs.
Start with your available savings, then protect the amounts you want to keep. The remainder is your purchase budget—not automatically your down payment.
2. Understand the three closing numbers.
- Down payment
- Your contribution toward the purchase price rather than financing that portion.
- Closing costs
- Expenses associated with completing the loan and purchase. Review the itemized charges, including prepaid items and initial escrow funding where applicable.
- Cash to close
- The additional money needed at closing after deposits, applicable credits and other adjustments.
Your earnest-money deposit generally counts toward the transaction. It is not an extra down payment on top of what you owe. Review the deposit and credit entries in the Loan Estimate’s cash-to-close calculation.
YOUR NUMBERS, YOUR PLAN
3. Build your cash worksheet.
Enter your own amounts. For the first line, use the total funds you set aside before paying any purchase expenses. If you are starting with today’s bank balance, add back any deposit or purchase expenses already paid from those funds, then enter them on the fourth line.
Your entries stay on this page. They are not saved or sent to Jay. Closing funds and eligibility still need lender review.
Your purchase budget
- Funds still available for closing
- Remaining margin
This is a planning estimate, not an approval or an affordability decision. Your lender must verify funds, documentation and any required reserves. Your actual cash to close may change.
Review my purchase budget ↗Example: how to count a deposit once
You originally set aside $60,000 and have already paid a $5,000 deposit, so today’s balance is $55,000. Enter $60,000 as total funds and $5,000 as already paid. If you protect $5,000 for moving and $10,000 as a cushion, you have $40,000 available for closing. If your lender’s remaining cash-to-close estimate is $35,000, your margin is $5,000.
These are example amounts only. The lender’s cash-to-close figure already accounts for applicable deposits and credits.
4. Check the final numbers before sending funds.
For most purchase mortgages, you receive a Closing Disclosure at least three business days before closing. Compare it with your latest Loan Estimate. Ask about changes to the loan amount, costs, credits and cash required. If costs have been financed, understand how that affects your balance and interest.
5. Bring a specific question.
“Here is what I can use for the purchase, what I want to keep afterward, and the monthly housing payment I’m comfortable with. Which options should we compare?”
Bring your target price range, property location, timeline and approximate available funds. Ask how to provide financial documents securely.
CONTINUE YOUR PLAN
Follow the first-time homebuyer roadmap →Estimate your monthly housing payment →Learn how to compare Loan Estimates →Sources checked October 26, 2026: CFPB’s down-payment planning guide, Loan Estimate explainer and Closing Disclosure explainer. Educational information only; not a credit decision, offer or commitment to lend. Eligibility, underwriting and program restrictions apply.