First-Time Buyer’s Checklist: What You Really Need to Know
Buying your first home is exciting — and a little overwhelming. Whether you’re wondering how much you need for a down payment or what to ask during a showing, this checklist breaks it all down for you. No fluff, just what you really need to know before buying your first home.
1. Know What You Can Afford
Before looking at homes, get a clear picture of your finances. Lenders use your DTI (debt-to-income ratio) and credit score to determine how much you can borrow. Here’s what you should do:
- Review your credit score (aim for 620+ for most loans; 740+ for best rates)
- Calculate your monthly expenses and debt
- Use a mortgage affordability calculator to estimate what you can afford
Pro Tip: Don’t forget to factor in property taxes, insurance and maintenance costs.
2. Get Pre-Approved for a Mortgage
A pre-approval letter from a lender shows sellers you’re serious and helps you narrow down your price range. It also locks in a potential interest rate for 60–90 days.
Documents you’ll need:
- Pay stubs or proof of income
- Tax returns (usually 2 years)
- Bank statements
- ID
3. Find a Local Real Estate Agent You Trust
An experienced agent knows the local market and can help you:
- Find homes that match your needs and budget
- Negotiate offers
- Avoid common first-time buyer pitfalls
Look for someone who works full-time, knows your preferred neighborhoods, and has solid reviews.
4. Make a Must-Have List
Before you start touring homes, write down your priorities:
- How many bedrooms & bathrooms?
- Do you need a home office or big yard?
- What’s your ideal commute time?
- School districts?
Focus on what you need versus what’s just “nice to have.”
5. Tour Homes (Smartly)
Always bring this mini checklist to every home showing:
- Check the roof, windows, and foundation
- Ask about the age of HVAC, plumbing, and electrical systems
- Test water pressure and look for signs of water damage
- Research the neighborhood and local crime rates
Take photos and notes during each visit to compare later.
6. Make an Offer — and Understand What It Means
When you find the right home, your agent will help you submit a strong offer. Be prepared to negotiate on:
- Price
- Closing costs
- Move-in date
- Contingencies (financing, inspection, appraisal, etc.)
In a competitive market, you may need to act fast or even offer above asking price.
7. Don’t Skip the Home Inspection
Even if a house looks perfect, always get a professional home inspection. It can uncover costly issues like:
- Roof leaks
- Foundation problems
- Mold or pests
- Outdated wiring
The inspection report gives you leverage to negotiate repairs or walk away if needed.
8. Close the Deal (and Get the Keys!)
If the inspection and appraisal go well, your lender will finalize the loan. At settlement, you’ll:
- Review and sign final paperwork
- Get your keys!
Congrats — you’re now a homeowner!
Final Thoughts for First-Time Buyers
Buying your first home doesn’t have to be stressful. Stick to this checklist, work with the right pros, and stay focused on your long-term goals.
If you’re ready to take the first step, contact us today to learn more about how we can help you find the perfect home or manage your property investment in Queanbeyan
