Buying a first home is equal parts emotional and financial. This guide keeps the financial side from getting out ahead of you.
- Check your credit. The rate you get depends on it more than anything else.
- Know your budget. Use the 28% rule, not the lender's approval amount.
- Save the down payment. 20% avoids PMI, but 3-5% programs exist.
- Get pre-approved. It tells sellers you are serious and reveals your real rate.
- Budget closing costs. Usually 2-5% of the loan on top of the down payment.
- Model the true PITI. Taxes and insurance add far more than most expect.
- Pick the right location. Property taxes swing your payment by hundreds — compare state pages.
- Negotiate. Price, closing costs and repairs are all on the table.
- Get an inspection. Never skip it.
- Keep an emergency fund. A house brings surprises; budget for them.
Start with our affordability calculator to anchor your budget before you talk to a lender.