So you are complicating making one of the biggest financial decisions of your life. No pressure right? Well thats why we are here, we want to take off as much stress as we humanly can! So let's talk about some things that we suggest should be true before buying your first home.
As a first-time home buyer, the first thing you need to do is make sure you’re debt-free and have an emergency fund of three to six months of living expenses. That will set you up for success as you save money for a house and become a new homeowner.
After that, you’re ready to take on your next home-buying steps:
- Determine how much house you can afford (Check out our calculator for just that!)
- Save a 10–20% down payment
- Save for closing costs (About 3-4% of total home value)
- Get pre-approved for a loan (We suggest checking out Churchill Mortgage!)
- Find a home for sale in your price range (This is where our RamseyTrusted real estate pros come in)
- Research neighborhoods for best fit
- Attend open houses and think long term
- Make a competitive offer within your budget
- Prepare for closing
For more information, check out our full-length article: Tips for First-Time Home Buyers.