First-Time Home Buyer Guide · 2026
Steps to Buying a House: The Complete Guide for First-Time Buyers
Ten clear steps — from checking your credit to getting the keys — plus the help most guides skip: down payment assistance, ITIN loans, and low-credit paths. In plain English, from a real agent.
Buying your first house feels huge — but it's really just ten steps, in order. Here's the whole process, start to finish, written so it actually makes sense. We'll also point out the doors most guides never mention: programs that help with your down payment, and paths for buyers with an ITIN or limited credit.
Step 1: Check your credit and finances
Start by knowing where you stand. Pull your credit score, list your monthly debts, and total your savings. Most loan programs look for a score around 580 (FHA) to 620+ (conventional). Lower scores aren't a dead end — there are paths for that.
Step 2: Figure out how much house you can afford
A common rule of thumb: your total housing payment (loan, taxes, insurance) stays around 28% of your gross monthly income, and all your debts stay under about 36%. Get a real number before you fall in love with a house — it keeps you out of heartbreak and overspending.
Step 3: Save for the down payment — and find down payment help
You usually don't need 20% down. FHA loans allow 3.5%, and some programs go to $0 down. Most first-time buyers also qualify for down payment assistance — money toward your down payment that many people never hear about.
Step 4: Get pre-approved for a mortgage
A pre-approval is a lender's written estimate of what you can borrow. It makes your offers real to sellers. You'll typically provide ID, pay stubs, tax returns or W-2s, and bank statements. Get pre-approved before you shop — not after.
Step 5: Find a buyer's agent
A good buyer's agent guides you through everything — and is usually paid from the sale, not by you. Pick someone who knows your area and speaks your language. The right agent is the difference between a stressful purchase and a smooth one.
Step 6: Go house hunting
Write down your must-haves vs. nice-to-haves (bedrooms, location, commute, schools). Tour homes with your agent and take notes and photos. Stay within the budget from Step 2 — the goal is a home you can comfortably keep, not just buy.
Step 7: Make an offer
When you find the one, your agent writes the offer: the price, your earnest money deposit (a good-faith deposit, often 1–3% held in escrow), and contingencies that protect you (financing, inspection, appraisal). The seller can accept, reject, or counter.
Step 8: Get a home inspection
Once your offer is accepted, hire a licensed inspector to check the home's condition — roof, plumbing, electrical, foundation. If they find problems, you can ask the seller to fix them, lower the price, or you can walk away. Never skip this.
Step 9: Appraisal and underwriting
Your lender orders an appraisal to confirm the home is worth the price, then underwriting reviews everything to finalize your loan. Keep your finances steady here — don't open new credit cards, change jobs, or make big purchases until after closing.
Step 10: Close on your home
Do a final walkthrough, review your closing documents, bring your down payment and closing costs, and sign. Then you get the keys. From accepted offer to closing usually takes about 30–45 days. Welcome home.
The help most guides skip
You may need less money — and better credit — than you think
Most home-buying guides assume you have a big down payment, a high credit score, and a Social Security number. If that's not you, you still have real paths:
- Down payment assistance programs — money toward your down payment (CalHFA, GSFA, and more).
- CalHFA Dream For All — up to 20% of the price for first-generation buyers.
- Buying with an ITIN — for buyers without a Social Security number.
- FHA loans with 3.5% down and lower credit, and $0-down VA and USDA loans for those who qualify.
Keep reading
- ›What is an ITIN? (buy a house without an SSN)
- ›Down payment assistance in California
- ›Buying a house with bad credit
- ›How much down payment do you need?
Frequently asked questions
What are the first steps to buying a house?
The first steps are: (1) check your credit and finances, (2) figure out how much house you can afford, (3) save for a down payment and look into down payment assistance, and (4) get pre-approved for a mortgage. Pre-approval before you shop makes your offers real to sellers.
How long does it take to buy a house?
Once your offer is accepted, closing usually takes about 30 to 45 days. The whole journey — from getting your finances ready to getting the keys — can take a few weeks to a few months, depending on your readiness and the market.
How much down payment do I need to buy a house?
You usually don't need 20%. FHA loans allow as little as 3.5% down, and some programs (like VA and USDA) allow $0 down. Many first-time buyers also qualify for down payment assistance that covers part or all of the down payment.
What credit score do I need to buy a house?
Many FHA loans accept scores around 580, and conventional loans usually want 620 or higher. Lower scores or thin credit don't mean you can't buy — alternative paths exist, including ITIN loans and credit built from rent and utility payments.
Can I buy a house with an ITIN and no Social Security number?
Yes. ITIN mortgages let you use your ITIN instead of a Social Security number. They typically ask for 10–20% down and 2 years of tax returns. Being a homeowner does not depend on your immigration status.
Do I need a real estate agent to buy a house?
You're not required to, but a good buyer's agent guides you through offers, inspections, and closing — and is usually paid from the sale rather than by you. For first-time buyers, an experienced local agent saves time, money, and stress.
De Tu Lado Casas Powered by Real
Ready to take Step 1?
Sal Bermudez helps first-time buyers in Palmdale, Lancaster, and the Antelope Valley — including down payment assistance and ITIN paths. Bilingual, no pressure.
This guide is general information, not financial or legal advice; programs, rates, and requirements change. Confirm your situation with a licensed lender. Sal Bermudez, DRE# 01850625 · De Tu Lado Casas · Real Brokerage. Equal Housing Opportunity.