First-Time Home Buyers in 2024–2025: Be Financially Ready Before You Sign
Buying your first home is exciting—but it can also be overwhelming. From budgeting and saving to choosing the right loan, there are many decisions to make. At LoanGoal.com, we specialize in helping first-time buyers, including veterans and those with low credit scores, navigate the process with confidence.
Why Financial Preparation Matters
Before you start browsing listings or attending open houses, it’s crucial to plan your finances. Unexpected costs like closing fees, inspections, and repairs can add up quickly. Experts recommend saving at least 5–6% of the home price to cover your down payment and closing costs.
Quick Tip: Use our Quick Quote Tool to estimate your monthly payment and explore loan options that fit your budget.
Your Home Buying Checklist
1. Start Saving Early
Whether you’re aiming for a big home or a cozy starter, saving is key. FHA loans require just 3.5% down, and VA loans offer 0% down for eligible veterans and service members.
2. Get Pre-Approved
Pre-approval shows sellers you’re serious and helps you understand your borrowing power. At LoanGoal.com, we offer manual underwriting for VA loans with credit scores as low as 500.
3. Know Your Must-Haves
Make a list of non-negotiables (e.g., number of bedrooms, location) and nice-to-haves. This helps you stay focused and avoid overspending.
4. Set Up a Dedicated Savings Account
Automate deposits into a high-yield savings account. Adjust contributions as your income grows.
5. Understand Your Budget
Use our mortgage calculators to factor in income, debt, and monthly expenses. Don’t forget to include taxes, insurance, and HOA fees.
6. Timing Is Important, But It’s Not Everything
Spring may offer more inventory, but it also brings more competition. The best time to buy is when you’re financially ready and comfortable with your monthly payment. Don’t overlook homes that have been on the market longer—they may offer better deals or seller-paid closing costs. Also, consider your overall financial health: Do you have student loans, credit card debt, or an emergency fund? These factors matter just as much as mortgage rates.
7. Research Your Loan Options
Explore all available loans: VA, FHA, USDA, conventional, and even renovation loans that include repair costs in the mortgage. LoanGoal.com helps you compare options and find programs that match your needs—including down payment assistance and state incentives.
8. Establish a Good Credit Score
A score of 580+ is typically needed for FHA loans, but higher scores unlock better rates. Pay bills on time, avoid maxing out credit cards, and consult with our team before paying off debt—it could impact your score in unexpected ways.
Did you know? At Access Capital Group, VA loans are available for credit scores as low as 500. This opens the door to homeownership for many veterans who may not qualify elsewhere. Learn more at LoanGoal.com.
9. Find a Good Real Estate Agent
Choose a licensed, full-time agent who knows your target neighborhoods. Interview agents and look for someone who prioritizes your goals. A knowledgeable agent can help you avoid costly mistakes and negotiate better deals.
Loan Options for First-Time Buyers
LoanGoal.com offers a wide range of mortgage solutions:
– VA Loans: 0% down, available for credit scores starting at 500
– FHA Loans: 3.5% down for scores of 580+, or 10% down for scores as low as 500
– Conventional Loans: Great for buyers with stronger credit
– NON QM Loans: Flexible options for self-employed or non-traditional income buyers
Credit Score Tips
Boosting your credit score can unlock better rates. Pay down debts, avoid late payments, and check your credit report for errors. Even if your score is low, we have options to help you qualify.
Frequently Asked Questions for First-Time Home Buyers in Phoenix, AZ
What is the average down payment for a home in Phoenix, Arizona?
In Phoenix, many first-time buyers use FHA loans with a 3.5% down payment, while eligible veterans can use VA loans with 0% down. At LoanGoal.com, we help you explore the best option based on your credit score and financial goals.
Can I buy a home in Arizona with a credit score under 600?
Yes! LoanGoal.com offers manual underwriting for VA loans starting at 500 credit score, and FHA loans with 10% down for scores between 500–579. We specialize in helping buyers with low credit get approved.
What are the best neighborhoods in Phoenix for first-time home buyers?
Areas like Ahwatukee, North Central Phoenix, and Deer Valley offer great starter homes with access to schools, parks, and shopping. Your LoanGoal agent can help you find homes that match your lifestyle and budget.
How do I get pre-approved for a mortgage in Arizona?
You can start your pre-approval process online at LoanGoal.com. We’ll guide you through income verification, credit review, and loan matching—all tailored to Arizona’s housing market.
Are there first-time home buyer programs in Arizona?
Yes! Arizona offers down payment assistance and tax credit programs. LoanGoal.com helps you apply for these incentives and combine them with VA, FHA, or conventional loans to maximize your buying power.
Ready to Begin?
At LoanGoal.com, we’re committed to helping first-time buyers—especially veterans—achieve homeownership. With over 20 years of lending experience, our team offers personalized support, interactive tools, and loan options tailored to your situation.
Start your journey today or request your dream home at LoanGoal.com.
