Buying Your First Home: A Step-by-Step Guide
Buying your first home can feel overwhelming—especially when terms like mortgage prequalification, preapproval, and first-time home buyer programs start popping up. If you’re wondering how much house you can afford or where to find assistance, this guide walks you through the essentials to purchasing a home in Utah.
What You Need to Get a Home Loan
Before you apply, it’s important to understand the basic requirements. Lenders typically look for proof of income, steady employment, a decent credit score, and proper identification. Being prepared can speed up the process and prevent delays.
Prequalification vs. Preapproval
Getting prequalified gives you a rough estimate of what you might afford, based on self-reported information. Preapproval, on the other hand, involves document verification and a credit check, making it more reliable when you’re ready to make an offer.
So, should you get preapproved before house hunting? Absolutely—it strengthens your offer and helps clarify your price range.
Image: house with for sale sign
Alt text: How to get qualified for a house loan
How to Get Preapproved for a Home Loan
To get preapproved, choose a lender and submit financial documents like tax returns, pay stubs, and bank statements. If you’re not quite ready, consider getting prequalified first to compare rates and identify potential issues.
How to Get a Loan for a House
Start by checking your credit score and setting a budget. From there, gather your documents and apply for a loan. First-time buyers can reduce stress by understanding the process and exploring mortgage options early.
First-Time Home Buyer Loans with Zero Down
Programs like USDA and VA loans offer zero-down options if you meet the criteria. In Utah, local programs may provide down payment assistance. Eligibility often depends on income, credit score, and property type.
Best Mortgage Lenders for First-Time Buyers
The best lender for you depends on your financial situation. Some offer low rates, others prioritize low down payments or customer service. Compare lenders and consider options like FHA, VA, and state-backed programs.
How to Qualify for a Mortgage Loan
Approval depends on your credit score, debt-to-income ratio, employment history, and available funds. If you’re wondering whether you’d qualify, many first-time buyers succeed with the help of government-backed loans or assistance programs—especially in Utah.
Getting Approved for a Conventional Loan
To qualify for a conventional loan, aim for a credit score of 620+, a steady income, and a solid job history. While a 20% down payment avoids PMI, there are options for lower down payments as well.
Image: mortgage application with ‘approved’ stamp
Alt text: How to get approved for a conventional home loan
Steps to Qualify for a Mortgage
- Check and improve your credit score.
- Save for a down payment and closing costs.
- Gather financial documents like tax returns and pay stubs.
- Get prequalified to explore your loan options.
- Get preapproved to boost your buying power.
- Work with a real estate agent and submit an offer.
- Complete underwriting and close on your home.
Where to Apply for First-Time Buyer Assistance
In Utah, start with the Utah Housing Corporation, local credit unions, or community banks. HUD-approved housing counselors can also guide you through available programs and next steps.
Taking the time to get prequalified—and eventually preapproved—sets you up for success. Whether you’re just starting or ready to apply, understanding these steps can make your home buying journey smoother and more confident.
