Buying a house is a complex process, but it is manageable when broken down into clear financial and logistical steps.
: While 20% avoids private mortgage insurance (PMI), many first-time buyers put down as little as 3%–3.5% .
: Budget an additional 2%–5% of the home's price for fees such as appraisals, title searches, and taxes. 2. Building Your Team
Before looking at houses, you must determine your actual budget, which includes both upfront and recurring costs.
: Lenders typically look for a credit score of at least 620 for conventional loans, though scores of 740+ qualify for the best interest rates.