Buying your first home is exciting
and terrifying at the same time!
Here is everything you need to know:
STEP 1 — CHECK IF YOU ARE READY:
Financial checklist:
✅ Emergency fund = 3-6 months expenses
✅ Down payment saved (3-20%)
✅ Credit score 620+ (700+ preferred)
✅ Debt to income ratio under 43%
✅ Stable job for 2+ years
STEP 2 — SAVE YOUR DOWN PAYMENT:
Conventional loan: 5-20% down
FHA loan: 3.5% down (credit score 580+)
VA loan: 0% down (veterans only) ✅
USDA loan: 0% down (rural areas) ✅
On $350,000 home:
20% down = $70,000
5% down = $17,500
3.5% down = $12,250
STEP 3 — GET PRE APPROVED:
→ Contact 3-4 different lenders
→ Compare interest rates
→ Get pre approval letter
→ This shows sellers you are serious
STEP 4 — FIND YOUR HOME:
→ Use Zillow or Realtor.com
→ Get a buyer’s agent (FREE for you!)
→ Visit 10-20 homes minimum
→ Never fall in love with first house
STEP 5 — MAKE AN OFFER:
→ Research comparable sales
→ Start below asking price
→ Add inspection contingency always!
→ Negotiate closing costs
HIDDEN COSTS FIRST TIMERS MISS:
→ Closing costs: 2-5% of loan
→ Home inspection: $300-500
→ Moving costs: $500-2,000
→ Immediate repairs
→ HOA fees if applicable
→ Property taxes
On $350,000 home budget for:
→ Closing costs: $7,000-17,500
→ Emergency repairs: $5,000-10,000
PROGRAMS FOR FIRST TIME BUYERS:
→ FHA loans (low down payment)
→ State first time buyer programs
→ Down payment assistance grants
→ Check HUD.gov for your state!
Take your time — this is the biggest
purchase of your life! 🏠