Buying a home is one of the most exciting milestones in life—but let’s face it, the process can feel a little overwhelming. From saving up for a down payment to making an offer, each step requires careful planning and timing. So, how do you know when to start? Don’t worry—I’ve got you covered! Let’s break down the homebuying process step by step so you can feel confident and prepared every step of the way.
Before anything else, you need to decide when you would like to be in your new home. This timeframe will determine when you should start the first steps! Even if it’s just a season and not a specific month, you need to have a goal idea to work with.
Step 1: Evaluating Your Finances (6-12 Months Before Buying)
The first step in buying a home begins long before you step foot in an open house. About 6-12 months before you plan to buy, take a close look at your financial health.
Start by checking your credit score and reviewing your credit report for any errors. A higher credit score can help you secure a better mortgage rate, so if your score needs improvement, now is the time to work on it. This is also when you should start saving for a down payment, closing costs, and an emergency fund.
Contacting a lender a year out is completely normal! They’re there to help you buy a home, so they can look at your finances and put you on the path you need. This is called a pre-qualification, not a hard pull on your credit. It’s simply an overview where you share the basics so the lender can let you know what work, if any, needs to be done.
Take a hard look at your budget and calculate your debt-to-income ratio (DTI). Most lenders prefer a DTI below 43%, so paying down debt during this period is a smart move.
Step 2: Getting Pre-Approved for a Mortgage (4-6 Months Before Buying)
Once your finances are in order, it’s time to talk to a lender. Getting pre-approved for a mortgage is an essential step that should happen before you seriously start house hunting.
A pre-approval letter shows sellers that you’re a serious buyer, and it gives you a clear idea of how much home you can afford. To get pre-approved, you’ll need to provide documents like pay stubs, tax returns, and bank statements.
Use this time to shop around for lenders and compare loan options to ensure you’re getting the best deal.
Step 3: Finding the Right Real Estate Agent (4-6 Months Before Buying)
Get in contact with me! I will be your guide and advocate throughout the homebuying process.
Reach out to me so we can start the discussion! I’ll walk you through the process, listen to your wants and needs, and make sure you feel confident every step of the way.
Step 4: Researching the Market and Creating a Wishlist (3-5 Months Before Buying)
Once you have a pre-approval letter and an agent, it’s time to start researching the market and defining what you’re looking for in a home.
Explore neighborhoods that fit your lifestyle, compare home prices, and start making a list of your must-haves and nice-to-haves. Do you need three bedrooms or a big backyard? Is being close to work or public transportation a priority?
Having a clear wishlist will save you time and help me find homes that fit your criteria. I recommend seeing at least three homes before making any offers. This way, you’ll have a good idea of what’s currently available on the market.
Step 5: Shopping for Homes (1-3 Months Before Buying)
Now comes the fun part—house hunting! Start attending open houses and scheduling tours of homes that catch your eye with me.
I’ll set you up on a home search, and you’re always welcome to send me any homes you want to see as well.
Keep in mind that the market can move quickly, so be prepared to make an offer if you find a home that checks all your boxes. I’ll help you evaluate properties, negotiate offers, and stay within your budget.
Step 6: Making an Offer and Closing (1-2 Months Before Moving In)
Once you’ve found the one, it’s time to make an offer! The actual offer itself typically takes about three days to know if it’s been accepted or denied.
After your offer is accepted, you’ll enter the closing process, which includes inspections, appraisals, and finalizing your loan—this usually takes 30-45 days.
Use this time to start planning your move! Schedule movers, transfer utilities, and make a checklist for everything you need to do before moving day.
Timing is everything when it comes to buying a home. By breaking the process down into clear steps and knowing when to start each one, you’ll set yourself up for a smoother, less stressful experience.
Whether you’re a first-time buyer or simply need a refresher, following this timeline can help you approach homeownership with confidence.
If you’re ready to start your homebuying journey or just have questions about where to begin, I’d love to help. Let’s work together to find your dream home at the perfect time for you!
