First-Time Home Buyer Guide

Your comprehensive guide to buying your first home, from financial preparation to closing day.

3.5%
Minimum FHA Down Payment
30-45
Days to Close
2-5%
Closing Costs
580+
Minimum Credit Score

Step-by-Step Process

1
Check Your Credit

Review your credit report and score

Aim for 620+ for conventional loans, 580+ for FHA loans

2
Save for Down Payment

Accumulate funds for your down payment

3.5% for FHA, 5-20% for conventional loans

3
Get Pre-approved

Obtain pre-approval from a lender

Shows sellers you're a serious buyer

4
Find a Real Estate Agent

Work with an experienced buyer's agent

Typically free for buyers (seller pays commission)

5
Shop for Homes

Search within your approved budget

Consider location, schools, and future resale value

6
Make an Offer

Submit a competitive offer

Include contingencies for inspection and financing

7
Complete Inspections

Hire professional inspectors

Identify potential issues before closing

8
Finalize Financing

Complete your mortgage application

Provide all required documentation to lender

9
Closing

Sign papers and get your keys

Bring cashier's check for closing costs

First-Time Buyer Programs

Special programs available to help first-time buyers

Government Programs

  • • FHA loans (3.5% down)
  • • VA loans (0% down for veterans)
  • • USDA loans (0% down in rural areas)
  • • State and local programs

Down Payment Assistance

  • • Grants (don't need to be repaid)
  • • Second mortgages at low rates
  • • Forgivable loans
  • • Employer assistance programs

Common First-Time Buyer Mistakes

Financial Mistakes

  • • Not saving enough for closing costs
  • • Forgetting about moving expenses
  • • Not budgeting for maintenance
  • • Maxing out your budget

Process Mistakes

  • • Skipping home inspection
  • • Not shopping for mortgages
  • • Making major purchases before closing
  • • Not understanding all costs involved