Real estate finance education

Cash-to-Close Calculator

Work out every dollar a DSCR purchase asks you to document, not just the down payment.

The down payment is only part of what you have to document. Add closing costs, prepaid taxes and insurance, and the reserves that must still be there after the deal closes.

Down payment guideWhat it costs
  • Total the full requirement
  • Separate reserves from cash to close
  • Test a gift against the total
  • Learn as you go
A woman at a kitchen table sorting printed bank statements into piles beside a laptop and a mug.

Purchase & Reserve Details

20% to 25% is standard. 15% exists at 720+ credit and costs a premium.

Budget 2% to 5% on a DSCR loan. Origination alone is often 1% to 3%.

Varies with the closing date and your state's escrow rules.

3 to 6 months is common for a long-term rental, 6 to 12 for a short-term rental.

Gifts can often cover part of the down payment but generally cannot count toward reserves.

Your Results

Total documented funds$126,750Everything the lender expects you to show.
From your own funds$126,750After any eligible gift toward the down payment.

You need about 27% more than the down payment alone, and the reserves must still be there after closing.

Loan amount $300,000 at 75% LTV.

Where the money goes

ItemAmountBasis
Purchase price$400,000—
Down payment$100,00025% of the price, leaving a $300,000 loan
Closing costs$9,0003% of the loan amount
Prepaid taxes and insurance$3,500Varies with closing date and state
Reserves$14,2506 months of $2,375 PITIA
Total documented funds$126,750The full amount to plan for
Less gift funds$0Down payment only, not reserves
From your own funds$126,750No gift funds applied

How this is calculated

Down payment + closing costs + prepaids + reserves

The loan amount is the purchase price less the down payment. Closing costs are taken as a percentage of that loan, which is how lenders quote the 2% to 5% range. Reserves are the monthly PITIA multiplied by the number of months the lender requires.

Reserves must remain available after closing and generally cannot come from the money used to complete the purchase. Most programs also refuse gift funds for reserves, even where they allow a gift toward the down payment, so the two are kept separate here.

Lenders verify these funds with about two months of account statements. Money in personal, business and retirement accounts may all be eligible, though some programs count only part of a retirement or business balance.

Read the detail

This calculator is an estimate for planning. Lenders calculate DSCR in more than one way, and your quoted terms will depend on the full transaction.

DSCRLoans101 is an independent editorial site. We do not originate loans and we are not affiliated with any lender. Every figure on this page comes from published lender materials or primary sources, and we publish the date we verified it.