Real Estate

How to Start the Home Buying Process

I’ve received a lot of good feedback from my last post but for the most part I’ve been getting the same questions. So, I’ve decided to follow up with this post. I don’t intend to make Real Estate the main focus of my blog but I’d love to educate and inform my readers. Why not pass my knowledge on to my peers and possible clients?


  1. What do I need to do to buy a house?
  2. How high does my credit score need to be?
  3. How much money do I need for a down payment?
  4. What is the difference between a bank and a lender?


So, the very first thing you should ever do before buying a house is to get pre-approved for a loan. What does that mean? it means that a very nice lender will ask you a couple question and have you fill out a quick application to determine if you are ready to buy a house and if you are, you will find out exactly how much house you can buy. Most realtors, including myself won’t begin showing you houses until we’ve seen that pre-approval letter. Why? because it means that you’ve taken that very important first step into buying a house and you mean business. Also, Sellers don’t want to mess with anyone who hasn’t taken that first step into receiving financing. Guys, get a pre-approval it’s crucial. I promise lenders are not scary people. lol

Now, most lenders today require that you have a minimum of 620 credit score. If you’d like to qualify for down payment assistance your credit score does have to be higher. Ask your lender for better details trust me they know more about lending than I do.

Okay, so down payments vary on the type of loan, FHA loans are probably the most popular and those require a 3% of the price of the house as down payment. Conventional loans recommend a 20% down payment but you can give as low as 3% down, the catch is that you will pay mortgage insurance until you reach that 20%. VA loans require zero down payment. Woohoo go veterans! yes, you do have to be a veteran to qualify. (4 year active duty, 6 year reserve) If you want to know more about any of these ask your lender for more details!

Lastly, What is the difference between a bank and a lender? Besides where they get their money there isn’t a big difference BUT simply put lenders working with lending companies are badasses and well banks are not. No offense WellsFargo but your agents kind of suck, okay I’m being biased. I’m sure not all of them suck but you just get better service with a lending company. Big banks can be a hassle to work with.

P.S.A: Don’t forget to ask your lender for better details.


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