Buying your first home can feel like stepping into a maze, but it doesn’t have to be scary. Below you’ll find the basics you need to move forward with confidence, from figuring out how much you can borrow to picking the right ownership model.
Before you start scrolling through listings, get a grip on your borrowing power. Lenders look at three things: your income, your debt, and your credit score. For example, someone earning $70,000 a year can typically borrow around $250,000–$300,000, but that number shifts if you have high credit‑card debt or a low credit score.
Use a simple mortgage calculator: plug in your salary, add up monthly debt payments, and see what monthly mortgage amount feels doable. Remember, the bigger the down payment, the less you’ll pay in interest.
If you’re worried about a big down payment, explore government‑backed options like an FHA loan. FHA loans let you put down as little as 3.5% and have more forgiving credit requirements. Our "FHA Loan Guide" breaks down the exact requirements, so you know if you qualify before you apply.
Traditional buying isn’t the only route. Shared ownership lets you buy a share of a property (usually 25‑75%) and rent the rest. It’s perfect if you can’t afford a full mortgage right now. The "How to Find Share Ownership" post explains where to look and how the costs stack up.
Another low‑cost entry point is a co‑ownership agreement. Two friends or family members can each own a portion of the house, splitting the mortgage and other expenses. Just make sure you have a solid legal agreement to avoid disputes later.
Don’t forget to check local first‑time buyer programs. Many regions, like Ohio, offer special incentives and tax breaks. Our "First Time Home Buyer Qualifications in Ohio" article lists the exact criteria and paperwork you’ll need.
When you’ve narrowed down a few properties, focus on the hidden costs: stamp duty, legal fees, survey fees, and moving expenses. Adding these to your budget early prevents nasty surprises at closing.
Lastly, pick a real estate agent who gets your situation. Look for agents who have a track record with first‑time buyers and who can explain each step in plain language. Our "Top Qualities Homebuyers Seek in a Real Estate Agent" piece gives you a quick checklist.
With the right mortgage knowledge, a clear budget, and the right ownership model, your first home is within reach. Start by running the numbers, then decide whether a traditional mortgage, FHA loan, or shared ownership fits your lifestyle best. Happy house hunting!
