Buying Your First Home in Colorado: 7 Things to Know Before You Start

Buying your first home is exciting, and as a first-time home buyer it can also feel overwhelming. Here are seven things I share with every first-time buyer I work with in Denver and across Colorado.

1. You probably don’t need 20% down

Many buyers think 20% is required. It isn’t. Conventional loans can start at 3% down for eligible first-time buyers, FHA loans at 3.5%, and VA loans may require no down payment for those who qualify.

2. Down payment assistance may be available

State and local programs can help eligible buyers with down payment and closing costs. Eligibility often depends on income, purchase price, and location, so ask your loan officer what you may qualify for.

3. Get pre-approved before you tour homes

A pre-approval sets your budget and makes your offers competitive. Read my step-by-step guide to getting pre-approved.

4. Your credit score matters, but it doesn’t have to be perfect

A higher score usually means better pricing, but there are loan options for a range of credit profiles. Check your reports for free at AnnualCreditReport.com and fix any errors early.

5. Budget for more than the down payment

Plan for closing costs, often a few percent of the loan amount, plus moving costs, inspections, and a cushion for repairs. Seller credits can sometimes help cover closing costs.

6. Look at the full monthly payment

Your payment includes principal and interest plus property taxes, homeowners insurance, mortgage insurance if applicable, and any HOA dues. Use the mortgage calculator to estimate yours.

7. Choose a loan officer who communicates

You’ll have questions along the way, often on evenings and weekends when you’re making offers. Work with someone who explains your options clearly and is easy to reach.

Ready to get started? Apply online, call me at 614-348-0916, or send me a message. I’m happy to answer questions, no obligation.

Jack Pardi is a mortgage loan officer with DNVR Lending in Denver, Colorado. NMLS #2408286. DNVR Lending, LLC NMLS #2403751. This article is for general information only and is not a commitment to lend. Not all borrowers will qualify; programs and guidelines are subject to change.

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