Section 9, Cash Requirements, will tell you not only how much cash is required to close the deal, but also the amount of cash required during the first year of operations.
Downpayment Calculated
This is a calculated amount based on your selections, no entry is required.
THis is a calculated amount based on entries you make in Section 10, (Purchase-Side Closing Costs). No entry is required here. To change the closing cost amount, make the nesessary adjustment in Section 10
Enter the total maount of the Soft Costs here. Soft costs include, but are not limited to the costs of due diligence inspections or professional advisors. THese costs are capitalized as part of the total cost of acquisition, and must be amortized. Enter the number of years to amortize the soft costs in the box immediately to the right. This number is typically the same as the loan term. The model will account for unamortized amounts if the sale should occur prior to full amortization.
This is a calculated amount and requires no entry. These numbers are based on selection you make regarding loan points in Sections 5 through 8 inclusive, and from Section 17 (Funded Reserves).
THis is a calculated amount and requires no entry. To change the Capital Improvements amount, go to Section 17 and make the appropriate adjustment. Notice that the Capital Improvements number is not included in the Cost to Close - that's because it isn't truly a cost of the closing.
THis is a calculated amount and requires no entry. This number is the total amount of cash (including Capital Improvements) and positive or negative cash flows that you will need to close and operate the property during the first calendar year of ownership.
