Questions to Ask Before Buying Your First Home

Important Questions for First-Time Homebuyers

Buying your first home? It’s exciting, overwhelming, and, let’s be honest, a little bit scary all at once. Asking the right questions can make all the difference. We’ve rounded up the 10 most important questions to ask before taking the plunge into homeownership. From finances to future plans, this guide will help you feel confident, prepared, and ready to find a place you can truly call home.

Before you start browsing listings and daydreaming about paint colors, it’s important to get a clear picture of your home buying journey. The right questions can help you understand what’s within reach, what you’ll need to plan for, and what could catch you by surprise along the way.

 

What’s My Budget?

Yes, we know this one might be an obvious question, but it’s one you don’t want to gloss over. Knowing how much you can afford is the very first box you should check when buying your first home. Your budget isn’t just about the purchase price; don’t forget to account for closing costs, property taxes, home insurance, and ongoing maintenance. It’s also important to factor in how much you’re comfortable spending each month, so you’re not stretching your finances too thin. Setting a realistic budget will give you a clear starting point and help you narrow down your options without getting overwhelmed.

 

How Much Should I Save for a Down Payment?

The down payment is often one of the biggest hurdles for first-time homebuyers, but it’s not always as daunting as it seems. Ideally, you’ll want to aim for at least 20% of the home’s purchase price to avoid private mortgage insurance (PMI) and get better loan terms. But if 20% feels like a stretch, don’t panic — many loan programs offer lower down payment options, sometimes as low as 3% or 5%. The key is figuring out what’s realistic for you, based on your budget and savings. Keep in mind that the more you can put down, the less you’ll have to finance, which can save you money in the long run.

 

What’s the Market Like in My Area?

Understanding your local real estate market is crucial when buying your first home. Markets can vary drastically from one area to the next — some are super competitive with homes flying off the shelves, while others may offer more breathing room and negotiating power. Researching local trends, like average home prices, how long properties stay on the market, and whether it’s a buyer’s or seller’s market, will help you make informed decisions. If you’re working with a real estate agent, they can be a great resource for getting the inside scoop on what to expect in your area. Knowing the market will set realistic expectations and help you act fast (or patiently) when the right home comes along.

 

What’s Included in the Mortgage Pre-Approval Process?

Getting pre-approved for a mortgage is basically a financial green light before you start house hunting. Lenders will take a deep dive into your finances, looking at your credit score, income, employment history, debts, and assets to determine how much they’re willing to lend you. You’ll need to provide documents like pay stubs, tax returns, and bank statements, so having those ready can speed things up. A pre-approval doesn’t guarantee a loan, but it does show sellers you’re a serious buyer — and in a competitive market, that can give you a big advantage.

 

Are There First-Time Homebuyer Programs I Can Qualify For?

There are plenty of programs designed to make buying your first home more affordable. Depending on your income, location, and credit score, you may qualify for low down payment loans, grants, or assistance with closing costs. Government-backed options like FHA, VA, and USDA Loans offer more flexible requirements, while state and local programs can provide additional perks, like down payment assistance or tax credits. A little research (or a chat with a mortgage pro) can help you find programs that make homeownership more accessible.

 

What Should I Prioritize in a Home?

It’s easy to get swept up in dreamy kitchens and perfect backyard patios, but the key to a smart home purchase is knowing what really matters. Start with the big-ticket essentials — location, size, layout, and overall condition. Do you want a fixer-upper or something move-in ready? Think about your lifestyle: Do you need extra space for a home office? A big yard for pets? A short commute? While cosmetic upgrades are fixable, factors like neighborhood, school districts, and resale potential should carry more weight. Make a list of must-haves versus nice-to-haves so you can stay focused and find a home that truly fits your needs (not just your Pinterest board).

 

How Can I Find the Right Realtor?

The right Realtor can make all the difference as you’re buying your first home. A great agent will not only help you find homes but also negotiate on your behalf, navigate paperwork, and guide you through the process with confidence. Look for someone with experience in your target area, strong communication skills, and a track record of working with first-time buyers. Not sure where to start? Treadstone has a network of trusted Realtors who specialize in connecting buyers with homes that fit their needs and budget.

 

What Should I Ask or Watch for During a Home Inspection?

A home inspection is your chance to catch any red flags before signing on the dotted line, so don’t be afraid to ask questions. Pay close attention to the big-ticket items — roof, foundation, electrical, plumbing, and HVAC systems. If something needs repairs, ask the inspector how urgent (and expensive) the fixes might be. Also, keep an eye out for water damage, signs of pests, or anything that looks… off. A good inspector will walk you through their findings, but it’s smart to come prepared with questions about the home’s overall condition and future maintenance needs.

 

What’s the Timeline for Closing on a Home?

Closing on a home isn’t an overnight process — it usually takes about 30 to 45 days, but the timeline can vary based on financing, inspections, and negotiations. After your offer is accepted, you’ll go through the home inspection, finalize your mortgage, and wait for the appraisal. If everything checks out, you’ll move on to the final walkthrough and, finally, the closing table, where you’ll sign all the paperwork (your signing hand will get tired) and get the keys. Delays can happen (especially if issues pop up with financing or the home itself), but staying on top of deadlines and working with a solid team can help keep things on track.

 

How Can I Make My Offer Stand Out?

In a competitive market, a strong offer can mean the difference between landing your dream home and losing out to another buyer. After getting preapproved, offering a competitive price is key, but it’s not always just about the highest bid. A larger earnest money deposit, flexible closing timeline, or fewer contingencies can make your offer more appealing. Writing a personal letter to the seller (if allowed) can also add a human touch.

 

Preparing for Your First Home Purchase

Buying your first home is a big step, but with the right preparation, it doesn’t have to feel overwhelming. Start by getting your finances in order, researching the market, and connecting with professionals who can guide you through the process. Understanding what you want — and what you can afford — will help you make confident decisions when the right home comes along. The more prepared you are, the smoother (and more exciting) the journey will be. If you’re ready to take the first step, Treadstone can help you navigate the mortgage process and connect you with trusted local Realtors to make your home buying experience as seamless as possible. Before you know it, you’ll be unlocking the door to a place that’s all yours.

 

FAQs

How much money should you have for your first house?
The amount you need depends on your home price, loan type, and additional costs. At a minimum, you’ll need enough for the down payment (which can be as low as 3-5% with certain loans) plus closing costs, which typically range from 2-5% of the purchase price. It’s also smart to have extra savings for moving expenses, home repairs, and an emergency fund to cover unexpected costs after you move in.

What are the 4 C’s when buying a home?
The 4 C’s of homebuying are Credit, Capacity, Capital, and Collateral — the key factors lenders use to assess your mortgage eligibility. Credit refers to your credit score and history, which show how reliably you repay debt. Capacity is your ability to afford the loan based on income, debt, and job stability. Capital includes your savings, assets, and down payment, which demonstrate financial security. Collateral is the home itself, which serves as security for the loan in case of default.

What do first-time home buyers get in Michigan?
First-time homebuyers in Michigan may qualify for programs like MI Home Loan and MI DPA Loan, which offer low down payment options and up to $10,000 in down payment assistance for eligible buyers. There are also tax credits and grants available through local programs, depending on income and location.

What mistakes do first time buyers make?
First-time buyers often overlook hidden costs, like closing fees, property taxes, and maintenance expenses, which can strain their budget. Some skip mortgage pre-approval, making it harder to compete in a fast-moving market. Others get too emotionally attached to a home and either overpay or ignore red flags, instead of focusing on long-term financial and lifestyle needs.