Common questions you may have when buying your first home
Note: Since Real Estate laws change every year, the information in this article may occasionally need to be updated. The information in this article is currently up to date as of 2026.
Purchasing a home always starts with the exciting moment of realization that you might be able to buy a home! This is a very big moment, and can happen again at different stages of life as your needs, career, or desires change. While exciting, there may also be a few questions that come to mind when striking out on this path. Here are some that I’m hopefully able to de-mystify as a Real Estate professional.
If I think I can buy a home, what should I do first?
There are two ways to begin your home search: 1) choosing a REALTOR, or 2) choosing a lender. Either way, you want someone in your corner who you feel you can trust as you work through the process.
Choosing your REALTOR first
Choosing your REALTOR first gives you the assurance that someone will be helping you through the exciting part of finding your home, and also through the challenging parts, including deadlines and inspections, so you can get to the thrilling part--getting into your new home! If you chose your REALTOR first, the next step will be to choose a lender. Your REALTOR will have experience with lenders and can even help you in your search!
Choosing your Lender first
It can be challenging to find your lender as the first step. It is important to choose a professional you can depend on. The best approach is to get someone local and respected. In working with a lender, you will undoubtedly have questions along the way, and need to work closely with them at different points in the process. For this reason, it is vital that you find a lender who is accessible and a good communicator.
Do I need to be pre-qualified for a home loan when searching for a house?
The short answer is yes. The number one reason it is best to be pre-qualified is that it defines what price you will be looking for. It is the way that you and your REALTOR can be assured you are looking at homes you can afford. The second reason is that pre-qualification, working with a lender, and getting pre-approved looks great to sellers. When sellers are presented with multiple offers, they are most likely going to choose the buyer with the best qualifications. That is how sellers get the best odds of a contract (the purchase) being completed.
What if I have high enough income to qualify for a home loan, but not much saved for a down payment?
In recent years, new loan products have been introduced to make it easier for people who may not have the cash on hand for a big down payment to buy a home. Many people are familiar with FHA loans as a great loan for first-time home buyers. Veterans are usually aware of VA loans but may not be aware of some of their advantages in terms of lower down payment and lower interest rates. The Federal government and state governments offer different kinds of down payment assistance. Here in Colorado, another assistance program is Colorado Housing Finance Authority (CHFA). Lenders have multiple programs utilizing CHFA. These programs are not limited to first-time home buyers, and may even provide down-payment assistance with as little as $1000 down!
You may be surprised to find out that lenders often have dozens, sometimes hundreds of loan types that they can choose from in finding just the right one for you, so choosing your loan officer is a very important step in this process. Many lenders have very similar products, so the important part is getting the person who will work best with, and for, you.
How do I choose the right home lender for me?
When you have chosen your REALTOR, she or he will know loan officers they have worked with. Working with numerous loan officers, and the experiences of others in their office will usually make clear who the best ones are. Your REALTOR can give you a short list of these providers. It is then up to you to contact any loan providers you are considering, to figure out which one you want to work with.
Can I just go to a few open houses?
It can be enlightening and fun to go to open houses! It can help you get a feel for different neighborhoods and the types of houses available. Sometimes it is a good place to pick up information about lenders, or connect with the REALTOR who is holding the open house. The thing to keep in mind is that if that REALTOR at an open house is the seller’s agent, their job is to represent the best interests of the seller. They are required to treat you fairly, but they aren’t your agent (the one in your corner so to speak).
Having a conversation with the agent working an open house is an easy way to learn a lot more about the home and the neighborhood. Sometimes the agent working at an open house is not the seller’s agent, and in talking with them you could find someone who is actually a really good fit to assist you in your home buying journey! You can get a feel for that REALTOR’s working style, and get some idea of what you want in a REALTOR. It is possible the agent holding the open house is right for you.
If you’re looking for a home in Northern Colorado, and want to find out what it would be like to work with me, you can start a conversation with me right here!
I heard the term ‘buyer agency’? What is that? Do I have to sign something?
I am quoting here from the COLORADO BROKERAGE DISCLOSURE TO BUYER DEFINITIONS OF WORKING RELATIONSHIPS.
This is the formal description of what working with your own buyer’s agent means. In Colorado, this relationship is spelled out in a form informally referred to as the Buyer’s agency agreement. This details what you can expect from your REALTOR (agent) and what they can expect from you. It also details how your REALTOR (agent) is paid. In Colorado, agents are paid a success fee when the sale closes. Most agents today will show you definitions of the brokerage relationships when you first meet. The big questions about what you can afford and where you want to live come next.
The working relationship is formalized with a written agreement you and your agent both sign. Showing you homes is the next exciting step.
Your REALTOR will work with you through finding your home. Once you choose a home, you will make an offer on it that will include earnest money. Your REALTOR will present your offer to the Seller’s agent, who presents it to the sellers. There may be negotiation at this point to find a price that both you (as the buyer) and the seller will agree to.
When you both agree and sign, that is a big step. You are under contract to buy a home!
There are more steps involving financing and inspections where your REALTOR will assist you in getting things resolved and keeping to a schedule.
Once each step is completed, you go to a closing. A closing is where everyone signs the documents that constitute a home sale, and once completed, you are officially the proud owner of your new home!
If you are ready to begin your home buying journey, and are looking for homes in Colorado, I would love to hear from you! You can reach out to me here.
This article was written by Lori Symmes, a REALTOR in the state of Colorado.
Everything presented here is friendly advice. Nothing here is to be considered legal advice.