First Step To Buying A Home For The First Time Apr 2026

Most conventional loans require a minimum score of , while some FHA loans allow scores as low as 500–580 . You can access free reports from AnnualCreditReport.com . Determine Your Budget (The 28/36 Rule) :

After your initial self-assessment, the process typically proceeds in this order: How to Buy a House: A Step-by-Step Guide first step to buying a home for the first time

: Budget an additional 2% to 5% of the purchase price for legal fees, appraisals, and taxes. Most conventional loans require a minimum score of

: Experts recommend keeping 3 to 6 months of living expenses in reserve for unexpected repairs. Critical Follow-up Steps : Experts recommend keeping 3 to 6 months

Your monthly housing costs should not exceed of your gross monthly income.

Total debt payments (including the new mortgage) should ideally stay under of your gross income, known as your Debt-to-Income (DTI) ratio. Evaluate Your Savings :