First-Time Home Buyer Guide
Buying your first home is a big step. Here is how it works, in plain English.
Know your numbers
Look at your income, debts, savings and credit score. Then pick a monthly payment you're comfortable with, not just the most a bank will approve.
Get pre-approved
Talk to a lender and get a pre-approval letter before you shop. Sellers take offers with one seriously. Talk to more than one lender and compare rates and fees.
Ask about down payment help
You don't always need 20% down. Many loans need much less, and Indiana has programs through the Indiana Housing and Community Development Authority (IHCDA), offered by approved lenders. Terms and income limits change, so ask your lender what you qualify for.
List your must-haves
Write down what you need and what you only want: bedrooms, location, commute, yard. It keeps you from falling for a house that doesn't fit.
Search with a plan
I send you homes that fit your list and your budget, and we compare each one to recent sales. I rehab houses myself, so I look at the roof, mechanicals and foundation, not just the paint.
Make a smart offer
Your price should be based on comparable sales, not the list price. We can negotiate price, repairs and closing costs. I got $50k off list price for my buyer client.
Inspect and appraise
The inspection finds problems before you own them. We can ask the seller for repairs or credits. Your lender will also order an appraisal.
Close and get your keys
Do a final walkthrough, bring your closing costs, sign, and the house is yours. I stay with you to the finish.
Budget for more than the down payment
- Down payment
- Closing costs, which are often a few percent of the price
- Inspection and appraisal fees
- Moving costs
- Property taxes, insurance and repairs after you move in
Mistakes to avoid
- Opening new credit or making big purchases before closing
- Skipping the inspection
- Talking to only one lender
- Buying at the very top of your budget
Run your numbers with the calculator →
This guide is general information, not financial or legal advice. Talk to a lender about your own situation.
Buying? Start your home search
Tell me what you're looking for and I'll send homes that fit.