First-Time
Home Buyer
Guide
Your handbook for confidently navigating
the purchase of your first property
Welcome,
Future
Homeowners.
Welcome to your First-Time Home Buyer Guide. I've designed this guide to help you navigate the journey of purchasing your first property with confidence, eliminating doubts and confusion along the way.
My goal is for you to complete this guide feeling educated and confident, with a clear understanding of whether you're ready to take the step toward homeownership.
This guide is laid out as a step-by-step process, making it easy to follow. So if you're ready to make that jump into the market, let's get started!
Get
Pre-Approved
Know your budget before you fall in love with a house. In a competitive market, a pre-approval letter is the difference between winning and losing a home. It's the foundation everything else stands on.
Based on what you tell us. Nothing verified. Not taken seriously by sellers in competitive markets.
Income, credit, and assets fully verified. Sellers take it seriously, and your agent needs it before drafting any offer.
The Process
I'll pull your credit once and do it right the first time, so you're not hurting your score shopping around at three different lenders.
Find & Secure
Your Home
With a pre-approval in hand, you shop with intention. The right agent, a sharp offer, and a clean inspection turn a listing into a home.
In a tight market, a quick inspection turnaround and a flexible close date can win the deal even when you're not the highest bid.
The Finish
Line
From clearing conditions to the day the deed records in your name. Most loans close in 30 to 45 days from contract.
Do not open new credit cards, buy a car, quit your job, or make large deposits during this entire process. Any change to your financial profile can delay or kill your loan, even on closing day. Stay boring until you have the keys.
Debt-to-
Income Ratio
DTI is the most important number in mortgage qualifying. It tells the lender what percentage of your income goes toward debt, and determines how much home you can afford.
Principal, interest, taxes, insurance, PMI, and HOA.
Front-end PLUS car loans, student loans, credit cards, child support.
Maximum DTI by Loan Type
| Loan Type | Max Front | Max Back | Sweet Spot |
|---|---|---|---|
| Conventional | 49.9% | 49.9% | ≤ 36% |
| FHA | 46.9% | 56.9% | ≤ 43% |
| VA | No limit | 41% | ≤ 41% |
| USDA | 29% | 41% | ≤ 41% |
| Jumbo | 43% | 43% | ≤ 43% |
The fastest way to increase your buying power is to pay off debt. Eliminating a $400/month car payment can add $50,000 to $80,000 to your qualifying purchase price. I call this the seesaw game. Less debt on one side means more home on the other.
Your Credit
Score
Your credit score is your financial report card. Lenders use it to decide whether to approve you and at what rate. Higher score means lower rate and lower monthly payment.
Score Tiers
What Makes Up Your Score
FHA: 580 minimum
Conventional: 620 minimum
VA: 580 minimum
Jumbo: 660+ minimum
FHA: 660+ for best terms
Conventional: 700+ for cheapest PMI
All programs: 740+ for best rate
The score on Credit Karma is NOT the same score lenders use. Lenders pull from Equifax, Experian, and TransUnion using a mortgage-specific model: FICO 2, 4, and 5. They take the middle of your three scores. Let me pull the right one before you make any assumptions.
Down Payment
& Loans
You don't need 20% down to buy a home. Four common programs, four different paths in. The right one depends on your credit, your service history, and the property.
You can use gift money from family, retirement accounts, equity from another property, or Down Payment Assistance programs. You might already have more than you think. Let's run through your options before you assume you can't buy.
When you're
ready.
You now have the knowledge most buyers never get. The only thing left is to take action.
I'm here when you're ready. No pressure, no rush. Real help from someone who genuinely wants to see you win.
DRE #02289334
9am to 6pm PT