Buying a home can feel overwhelming, especially when it comes to budgeting—but it doesn’t have to be. Knowing the costs upfront can help you take control of the process and feel confident every step of the way. Here’s a quick guide to get you started.

1. Down Payment
How much do you need for a down payment? The good news: it’s probably less than you think! While many believe 20% is a requirement, several loan options allow as little as 3.5% or even 0% down. A trusted lender can walk you through loan types, down payment assistance programs, and what fits your goals best.

2. Closing Costs
In addition to your down payment, plan for closing costs, which typically range from 2–5% of your loan amount. These costs cover fees like appraisals, title insurance, and loan underwriting. However, our expert agents can often negotiate for closing costs to be covered by the sellers, helping you save money and make the process more affordable. Your lender will also help you estimate these costs so there are no surprises.

3. Earnest Money Deposit (EMD)
An EMD is a deposit made when you submit an offer, showing the seller you’re serious. It’s usually 1–2% of the home price and is credited toward your down payment or closing costs. While not always required, it can strengthen your offer.

4. Professional Fees
Your agent and you will come to an agreement on fees and how you would like to have those covered. As a buyer, you can often have our expert agent negotiate to have some or many of your buying costs and professional fees covered by the seller through the purchase price. Our agents always walk you through understanding the costs and options.

Bottom Line
Budgeting for a home purchase doesn’t have to be daunting. By working with an expert agent and a trusted lender, you’ll know exactly what to expect and how to prepare. With the right plan, you’ll be ready to find your dream home with confidence!

Ready to start your homebuying journey? Let’s chat!