Buying Your First Home in Houston, One Clear Step at a Time

Buying your first home is a big step, and it's normal to have a lot of questions. What can I afford? How much do I need saved? What happens if the inspection turns something up? My job is to answer those questions in plain English, walk you through each step, and make sure you never feel rushed or left guessing.

I work with a lot of first-time buyers across Greater Houston, and many of them are the first in their family to buy. Se habla español.

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How Buying a Home Works in Texas

1. Have a quick conversation with me. We talk about your budget, where you want to live, your commute, and your timeline. No pressure and no cost.

2. Get pre-approved with a lender. A lender looks at your income, credit, debts and savings and tells you how much you can borrow. A pre-approval letter shows sellers you're serious.

3. Shop for homes. I set up a search for you, we tour homes, and I'll point out things a listing photo won't show you, like the roof, signs of water, and the drainage around the lot.

4. Make an offer. In Texas, most resale offers are written on the TREC One to Four Family Residential Contract (Resale). We'll decide together on the price, the earnest money (a good-faith deposit held by the title company), and the option fee and option period.

5. Use your option period. The option period is a short window you negotiate up front. During it you can get inspections done and back out for any reason. If you back out in time, you get your earnest money back. You usually don't get the option fee back.

6. Appraisal, loan approval and title work. Your lender orders the appraisal, and the title company checks that the property's title is clear and gets everything ready for closing.

7. Close and get your keys. In Texas, closing happens at the title company. You sign your documents, the funds are sent, and once the loan funds and the deed is recorded, the home is yours.

Loan Basics, in Plain Terms

These are general descriptions only. A licensed lender will tell you what you qualify for.

• FHA loans are backed by the federal government and are popular with first-time buyers because the down payment can be smaller and the credit requirements are often more flexible. You'll pay mortgage insurance.
• Conventional loans aren't government-backed. Some conventional programs allow a low down payment for qualified buyers. If you put down less than 20%, you'll usually pay private mortgage insurance (PMI), which can often be removed later once you have enough equity.
• Other options like VA loans (for eligible veterans and service members) and USDA loans (for eligible areas and incomes) may also fit, depending on your situation.

The "best" loan depends on your credit, your savings and how long you plan to stay. I'll help you compare the options side by side with your lender.

Down Payment Assistance Exists in Texas

Many first-time buyers don't know there are programs that can help with a down payment or closing costs. Two worth asking about:

• Texas Department of Housing and Community Affairs (TDHCA) Homebuyer Program: statewide programs offered through TDHCA-approved lenders.
  TDHCA Homebuyer Program
• City of Houston Homebuyer Assistance Program (HAP): a city program for eligible first-time buyers purchasing a home that pays City of Houston taxes. Funding opens and closes, so check the city's page for current status before you count on it.
  City of Houston Homebuyer Assistance Program

Each program has its own rules on income, price limits, location, and homebuyer education classes. Rules and funding change, so we'll check what's available when you're ready and make sure you're working with a lender who participates.

What It Actually Costs to Buy a Home

Expect to plan for more than the down payment. Common costs include:

• Earnest money: deposited with the title company after your offer is accepted, and usually credited toward your purchase at closing.
• Option fee: paid to the seller for the option period.
• Inspections: a general home inspection, plus others if needed (for example sewer line, foundation, or termite).
• Appraisal: usually ordered by your lender.
• Closing costs: lender fees, title charges, survey (if needed), prepaid property taxes and homeowners insurance, and HOA fees where there's an HOA.
• Down payment: depends on your loan type.

Sometimes the seller agrees to pay part of your closing costs. We'll talk about whether asking for that makes sense in your offer. Your lender will give you a Loan Estimate with real numbers for your loan.

Why Work with a Buyer's Agent

• I represent you. The listing agent works for the seller. I'm on your side.
• Clear terms from the start. Before we tour homes, we'll sign a written buyer representation agreement that spells out my services and how I'm paid. No surprises.
• Negotiation. Price, repairs after the inspection, seller-paid closing costs. These are where a good agent earns their keep.
• A steady hand on deadlines. Option period, financing, appraisal, survey, title. I keep track of all of it so nothing slips.

Talk to Me

Have questions about your first home? Let's talk it through. There's no cost and no pressure. Tell me a little about what you're looking for and when you'd like to buy, and I'll get back to you. Se habla español.

Talk to me

Call or text 832-545-0236

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Danny Garcia, Founder/REALTOR® | Liv Texas, brokered by Realty of America
TREC Brokerage #9015126 | Agent License #563028
Call/Text: 832-545-0236 | [email protected]
4200 Westheimer Rd #1000, Houston, TX 77027
Se habla español.