Checklist for buying a house: What to do first
If you’re feeling overwhelmed by the prospect of home buying, it can be helpful to create a checklist for buying a house. Using a checklist can help you right from the beginning, since there are several important steps to take before you even begin your home search, like securing a mortgage lender.
To help get you started, here is a checklist for preparing to buy your first home:
Determine your debt to income ratio (DTI)
Knowing your own financial situation is crucial to a successful buying experience. Mortgage lenders offer different loan options affecting your ongoing mortgage payments, and it’s easier to compare the choices when you know how much you can comfortably afford.
You may also find new opportunities when examining your finances, like if you qualify for a lower interest rate because of a high credit score.
The best first step in this direction is to find out your debt to income ratio, or DTI. This will help you determine how much you can afford to pay monthly for your mortgage and other property-related expenses.
A simple formula for DTI is: gross monthly income / monthly expenses = DTI
Save for a down payment
The down payment is one of the major expenses you’ll encounter when buying a home. The down payment for your mortgage loan helps determine how much money you end up borrowing and paying back, including the interest rates.
While larger down payments have advantages, some mortgage lenders allow as low as 2% of the purchase price.
Hire a real estate agent
Real estate agents can help you navigate the real estate market and guide you through the home buying process. It’s helpful to find a buyer’s agent who specializes in representing clients wanting to buy rather than sell.
Not only can they help you with house hunting and finding your dream home, they can assist you with all the paperwork involved in the home buying process.
Get mortgage preapproval
By getting a preapproval letter from your mortgage lender, you can show sellers you’re a qualified and motivated buyer. It also secures your loan amount based on a detailed examination of your current financial situation, including credit score and report, investment account statements and income.
Taking care of these important tasks before you begin searching for a new home will help make the rest of the process smoother and quicker. Keep these steps in mind if you want to take the next step towards becoming a homeowner.
About the Author
Daniel Martin, Higgins Group Private Brokerage, Licensed in CT, Lic. #RES.6767971
With over two decades of experience in Connecticut real estate, Daniel Martin is a seasoned Realtor at Higgins Group Private Brokerage, renowned for his exceptional market insight and unwavering client dedication. A lifelong Connecticut resident, Daniel's deep roots in the community, coupled with his extensive professional background, provide an invaluable advantage to both buyers and sellers across Fairfield and New Haven Counties.
Daniel's distinguished career is marked by consistent achievement, earning him the prestigious Connecticut Magazine 5 Star Realtor award from 2014 to 2025. He is a perennial Top Producer, recognized as both a Top Listing Agent and Top Selling Agent, a testament to his strategic approach and keen understanding of market dynamics. His expertise spans a broad spectrum of real estate needs, including guiding First Time Home Buyers, navigating transactions for Single and Multi-Family Homes, Land, New Construction, New Residential Developments, Condominiums, Downsizing, and Rentals.
Beyond his impressive track record, Daniel's professional affiliations include memberships with the National Association of REALTORS (NAR), Connecticut Association of REALTORS (CAR), Bridgeport Board of Realtors, Smartmls and Greenwich MLS. His foundational education in real estate from Naugatuck Valley Community College, complemented by studies at Connecticut School of Electronics and Housatonic Community College, underpins his comprehensive understanding of the industry.
Daniel's unique blend of customer service acumen and technological proficiency sets him apart. He leverages every available marketing resource to ensure his clients' homes gain maximum exposure and stand out in the competitive market.
When not orchestrating successful real estate ventures, Daniel cherishes time with his family, including his wife, two children, and four grandchildren. A passionate musician and golf enthusiast, he embodies the vibrant spirit of the Connecticut communities he serves. Daniel's network extends globally, allowing him to facilitate referrals anywhere in the world.
