Buying a home, step by step.
Buying a home starts with knowing what you can afford, what cash you need, and which loan fits your life. Kladi walks you through the essentials here and turns them into one simple conversation when you are ready.
Reviewed by Kladi Bejkolli · Mortgage Loan Officer · NMLS #1626841
A simple sequence, in order.
You do not need to be an expert before you begin. You need a sequence that makes sense, and someone to answer the questions that come up along the way.
Set your budget
Start with the monthly payment you can carry, then work backward to a price range. Kladi can help you do this before you look at a single listing.
Look at your credit
Your credit profile shapes your options and your pricing. Pull a free copy of your reports and review them for surprises early.
Plan your cash
Think down payment, closing costs, and a cushion for the first year. Each belongs in the plan before you commit to a price.
Talk to a loan officer early
The earlier the conversation, the better the plan. Loan officers answer questions, confirm current guidelines, and catch issues while there is time to fix them.
Shop with a preapproval
Once you are ready to make offers, a verified preapproval makes your offers competitive and removes a whole category of surprises.
Prequalified vs preapproved.
Prequalification
A fast estimate of what you might afford, based on numbers you report. Great for scouting neighborhoods and price ranges. Nothing is verified yet.
- Minutes, not days
- Based on what you report
- Use it to aim your search
Preapproval
A deeper review: you authorize a credit check and verify income, assets, and employment. The lender issues a conditional commitment for a set amount. This is what offers are built on.
- Documents and credit pull
- Written commitment to a set amount
- Makes your offers competitive
The full breakdown, including how long each one stays fresh, lives in the guide below.
Read the guideThree buckets of cash.
Down payment
The portion of the price you pay in cash. Common starting points: 3% on many conventional loans, 3.5% on FHA, 0% on VA and USDA for borrowers who qualify. More down usually means a lower payment and less (or no) mortgage insurance.
Closing costs
Fees for making the loan happen: appraisal, title search and insurance, lender fees, recording, and prepaids like taxes and insurance. They often run roughly 2% to 5% of the loan amount.
Reserves
Cash left in the bank after closing: a few months of mortgage payments plus a buffer for year one in the home. Not a fee, but very often the difference between a smooth start and a stressful one.
Published minimums are a starting point, not a promise. Guidelines change and programs differ by state and borrower profile, so Kladi confirms the current numbers for your situation before you commit to anything.
Five levers, one payment.
Change any one of these and the monthly number moves. That is why a trustworthy estimate shows every piece separately, and why Kladi walks you through each one in plain language.
Read the full guideTwo Loan Estimates beat one.
When lenders quote different rates and fees, the numbers decide. Kladi shows you the comparisons side by side, explains what each line means, and helps you read the parts of the estimate most people skim: origination fees, points, and what can change before closing. The guide below teaches you to read them yourself.
One conversation gets you a clearer path.
Tell Kladi where the property is or will be, and whether you are scouting or ready to make offers. He will confirm what applies, run the numbers, and hand you a plan you can actually follow.
Free · plain language · no obligation