The short answer
To buy your first home, get your credit and savings in order, obtain a documented pre-approval, set an all-in monthly budget that includes taxes and insurance, then shop with an agent who represents you. Most first-time buyers need 3% to 5% down plus 2% to 5% of the price for closing costs — not the 20% many people assume — and Florida offers down payment assistance programs for qualifying buyers.
- Common down payment
- 3%–5%
- FHA minimum down
- 3.5%
- Closing costs
- 2%–5% of price
- Pre-approval validity
- 60–90 days
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Step 1 — Check your credit early
Pull your reports before a lender does. Errors, an old collection, or a maxed-out card can quietly cost you a full rate tier. See what credit score you need to buy a house for the thresholds by loan type.
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Step 2 — Save for more than the down payment
The down payment is one of four cash items. Closing costs, prepaid escrows, and inspections all come out of pocket too — the full picture is in how much money you need to buy a house.
- Down payment — as little as 3% on some conventional loans, 3.5% on FHA, 0% on VA for eligible buyers
- Closing costs — lender fees, title, recording, and Florida documentary stamps
- Prepaid escrows — several months of property taxes and insurance collected upfront
- Inspections — general, and often wind mitigation or four-point on older homes
- A reserve — do not close with an empty savings account
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Step 3 — Compare first-time buyer loan options
| Loan type | Minimum down | Best fit |
|---|---|---|
| Conventional (3% programs) | 3% | Stronger credit, wants to drop mortgage insurance later |
| FHA | 3.5% | Lower credit scores or thinner credit history |
| VA | 0% | Eligible veterans and active-duty service members |
| USDA | 0% | Qualifying rural areas — limited near the coast |
Florida assistance programs
Florida Housing offers down payment and closing cost assistance for qualifying first-time buyers, and Broward County has run its own programs. Eligibility turns on income limits, purchase price caps, and a homebuyer education course — ask your lender which current programs you qualify for before you write an offer.
Mortgage insurance is not permanent
On conventional loans, private mortgage insurance generally drops off once you reach sufficient equity. On most FHA loans it stays for the life of the loan, which is a real long-term cost difference worth pricing out.
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Step 4 — Get pre-approved, then shop
Do not tour homes before you know your number. Pre-approval tells you what you can borrow and shows sellers you are real. It is also very different from a pre-qualification.
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Step 5 — Understand what happens after your offer is accepted
Inspection, appraisal, underwriting, and title all run in parallel over roughly a month. The step-by-step home buying process lays out the order and the deadlines that matter.
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First-time buyer mistakes worth avoiding
- Assuming you need 20% down and delaying for years unnecessarily
- Shopping with one lender and never comparing a second Loan Estimate
- Opening a car loan or credit card during underwriting
- Budgeting on the mortgage payment and forgetting insurance, taxes, and dues
- Falling for a home at the top of your approval with no cushion left
- Skipping the inspection because the home looks new
First-time buyers rarely need more listings — they need one steady guide. That is what the best real estate agent in Hollywood, FL should do for you: translate the numbers, flag the buildings to avoid, and keep your first purchase boring in the best way.
The same rules apply for clients across Pembroke Pines and Dania Beach and the surrounding South Florida communities.