The home buying process, step by step
Buying a home is a big decision. Here are the eight steps from saving your down payment to securing your mortgage, so you always know what comes next.
- 1
Save for a down payment
Most buyers need cash for a down payment, so saving is one of the first steps. Many loans require less than 20% down (FHA can be as low as 3.5%, and VA loans may require none). Some buyers open a dedicated savings account; others receive the down payment as a gift from a family member.
Tip: Not sure how much you'll need? Ask us. We'll show you options for your situation.
- 2
Get pre-qualified or pre-approved
Before you start shopping, find out what you can afford. Pre-qualification is a quick review of your income, debts and finances that gives you an estimated budget. Pre-approval goes further with a credit check and a review of your down payment, and is usually preferred by sellers.
Tip: Get pre-qualified before house hunting so you can shop with confidence.
- 3
Decide on a location
Think about what matters most: being near family and work, schools, commute, and whether you prefer city, suburban or rural living. Visit neighborhoods with your lifestyle in mind.
- 4
Choose the type of home
New or resale? Single-family, duplex, townhouse or condo? Consider how you live today, the space you need, and what your family may need in the future.
- 5
Choose a real estate agent
A good buyer's agent knows the market, finds homes that match what you want and works in your best interest, saving you time and frustration. Recommendations from friends and family are a great place to start.
- 6
Visit available homes
Often the most enjoyable step! Your agent will find and screen homes that fit your criteria and set up showings. Take your time; don't feel pressured to make a hasty decision.
- 7
Make an offer
When you find the right home, your agent will help you choose an offer price based on recent comparable sales and prepare a contract with the terms both you and the seller need to meet.
- 8
Secure your mortgage
Once your offer is accepted, complete your mortgage application. If you're already pre-qualified or pre-approved, this goes much faster. We'll help you compare rates and terms so you get the best loan for you.
Tip: Avoid opening new credit or making large purchases until after closing.
Ready to see what you qualify for?
It takes about 5 minutes, there's no obligation, and a real person will follow up with you.