5 Things to Prepare Before Buying Your First Property

Updated: October 23, 2025 by Michael Kahn. Published: October 23, 2025.

Buying your first home continues to be one of your top aspirations and is widely considered to be one of the biggest milestones in life. It is also one of the biggest financial decisions you’ll ever make.

While it is understandably exciting to be embarking on such a journey, it is also an event that can also be overwhelming if you’re not ready. However, the good news is that a little preparation goes a long way in helping you to make the right decisions.

There’s an important list of things you need to do in preparation for buying your first property. That includes searching top real estate agents near me rankings to help you find the right fit for your needs and preferences.

At the end of the day, setting yourself up properly before you start house hunting, will save time, money, and stress down the road.

Here are some key things to get sorted before buying your first property.

Getting your finances in order should be a top priority

The first thing to do before you even start browsing listings, is to take a forensic look at your finances. Review your credit score, check for any errors on your report, and try to pay down high-interest debt. Without doubt, a strong credit profile can help you qualify for a better mortgage rate, which could save you thousands over the life of your loan.

Figure out how much you can comfortably afford each month, including not just your mortgage, but also property taxes, insurance, and maintenance costs. Without question, being financially prepared makes the rest of the process much smoother.

Be sure to save enough for your down payment and closing costs

It is highly likely that your lender will want you to be able to offer a decent down payment. This will be typically anywhere from 3% to 20% of the home’s purchase price. Remember, the larger your down payment, the smaller your loan and monthly payments will be.

The more of a financial buffer you have, the better it will be overall.

Arrange to get pre-approved for a mortgage

A mortgage pre-approval isn’t just part of the buying process, it’s actually your golden ticket in a competitive real estate market. It tells sellers that you’re a serious buyer with financing ready to go.

During pre-approval, your lender reviews your income, credit, and assets to determine how much you can borrow, so make sure you have got your finances in order beforehand.

Having that pre-approval letter in hand gives you a clear price range to shop in and strengthens your position when it’s time to make an offer.

Do your research to help you find a great real estate agent

One of the smartest moves you can make as a first-time buyer is to put in the groundwork required to find a good real estate agent. A good agent will guide you through every step. They will have an excellent understanding of local markets and help you with negotiating offers and navigating paperwork.

Do your research before choosing one. Rankings are often a good guide to help you select an agent.

Make sure you know exactly what you are looking for

Last but not least, you need to be disciplined enough to have a good understanding of what you are looking for, and then stick to the plan.

Decide what’s non-negotiable, such as location, commute time, or number of bedrooms, and then turn your attention to what you’re willing to compromise on.

Knowing what you want helps keep your search focused and realistic.

Buying your first property can feel a bit daunting at first, but the right preparation makes all the difference. Follow these steps and you will be able to approach the task of homebuying with greater certainty and confidence.