Getting Started

Buying your first home is an exciting milestone, but it can also feel overwhelming. This guide will walk you through every step of the process, from determining your budget to getting the keys to your new home.

Step 1: Assess Your Financial Readiness

Before you start house hunting, take a close look at your finances:

  • Credit Score: Check your credit report and score. A score of 620+ is typically needed for conventional loans, though FHA loans may accept lower scores.
  • Savings: You'll need funds for down payment (typically 3-20% of purchase price), closing costs (2-5%), and reserves.
  • Debt-to-Income Ratio: Lenders prefer a DTI of 43% or lower.

Step 2: Get Pre-Approved for a Mortgage

A mortgage pre-approval shows sellers you're a serious buyer. During pre-approval, a lender will:

  • Review your income and employment
  • Check your credit history
  • Verify your assets
  • Provide a pre-approval letter stating how much you can borrow

Step 3: Find a Real Estate Agent

A buyer's agent will:

  • Help you find homes that match your criteria
  • Schedule and accompany you to showings
  • Negotiate on your behalf
  • Guide you through the offer and closing process

Step 4: Start House Hunting

Create a list of must-haves vs. nice-to-haves. Consider:

  • Location and commute
  • School districts
  • Property size and type
  • Future resale value

Step 5: Make an Offer

When you find the right home, your agent will help you craft a competitive offer including:

  • Purchase price
  • Earnest money deposit
  • Contingencies (inspection, financing, appraisal)
  • Proposed closing date

Step 6: Complete Inspections and Due Diligence

After your offer is accepted, schedule a home inspection to identify any issues. You may also want:

  • Pest inspection
  • Radon testing
  • Sewer scope
  • Structural engineer evaluation

Step 7: Finalize Your Mortgage

Work with your lender to complete the loan process:

  • Submit all required documentation
  • Lock your interest rate
  • Review and sign loan disclosures
  • Schedule the appraisal

Step 8: Close on Your Home

At closing, you'll sign all final documents, pay your closing costs, and receive the keys to your new home!