2025 Guide | First-Time Homebuyer Guide for Washington: From Credit to Closing

Buying your first home is a major milestone, and it’s completely normal to feel excited, nervous, and unsure of where to start. This guide walks you through every step of the homebuying process in Washington—from understanding your budget to getting your keys—so you feel prepared and supported the entire way.

 Understanding Your Budget

Before looking at homes, it’s helpful to understand what monthly payment fits comfortably within your lifestyle. Your mortgage payment includes:

  • Principal & interest

  • Property taxes

  • Homeowners insurance

  • Mortgage insurance (if applicable)

  • HOA dues (if applicable)

By starting with the payment rather than the price, we can reverse-engineer your price range and keep your budget safe.

If you want a deeper look at affordability, you may find this helpful:
➡️ What Credit Score, Down Payment & DTI Do I Need to Buy a Home in WA?

 Credit Score Requirements

Your credit score plays an important role in the loan programs available to you and your interest rate. Common minimums in Washington include:

  • 580 for FHA

  • 620 for Conventional

  • 640+ for most down payment assistance

  • 700+ for stronger interest rate options

If your credit needs improvement, a lender can often help you create a quick, strategic plan.

 

Down Payment Options

One of the biggest misconceptions is that you need 20% down.
You don’t.

Typical down payment options in Washington include:

  • 0% VA loan (eligible military & veterans)

  • 0% USDA (rural-eligible areas)

  • 3–5% Conventional

  • 3.5% FHA

  • Down payment assistance programs

Most first-time buyers purchase with 3%–5% down.

 

Pre-Approval: Your Starting Point

A pre-approval tells you exactly:

  • Your qualifying loan amounts

  • Expected monthly payment

  • Estimated cash needed

  • Loan type

  • Debt-to-income ratio

  • Requirements before closing

This gives us a clear path forward and strengthens your offer when you find the right home.

If you're comparing timing or planning ahead, this blog may help:
➡️ Is Now a Good Time to Buy a House in Washington State?

 Exploring Washington Neighborhoods

Once pre-approved, we can begin exploring the areas that match your lifestyle and budget. Factors to consider include:

  • Commute times

  • School districts

  • Neighborhood feel

  • Proximity to amenities

  • Safety and community

  • Long-term resale value

  • Housing types and pricing

To help narrow your search, read:
➡️ How to Choose the Right Neighborhood in Washington (That Matches Your Lifestyle)

 Touring Homes

This is where the process becomes real.
When touring, we’ll look for:

  • Strong structural features

  • Quality of updates

  • Floor plan flow

  • Roof and siding condition

  • Windows, plumbing, and electrical

  • Signs of deferred maintenance

  • Overall market value

My goal is to help you understand the home beyond the cosmetic appearance.

 

Writing a Strong Offer

Your offer includes several key pieces:

  • Purchase price

  • Earnest money

  • Loan type

  • Inspection strategy

  • Timeline

  • Seller credits (if needed)

  • Appraisal terms

Together, we’ll create a competitive offer based on market conditions and the seller’s needs.

If you ever plan to sell while buying, you may find this helpful:
➡️ What Strategies Help Avoid Being Homeless or Paying Double During a Simultaneous Move?

 Inspection

An inspection gives you a detailed look at the property’s condition and helps you make an informed decision.

Common inspections include:

  • Full home inspection

  • Sewer scope

  • Septic inspection

  • Pest inspection

  • Well flow test

This step helps you understand the home and reduces risk.

 

Appraisal

For most loan types, the lender orders an appraisal to confirm the value of the home.
If the appraisal comes in low, you still have several options, and we’ll navigate them together.

 

Loan Finalization & Underwriting

After mutual acceptance, your lender works behind the scenes to finalize your loan file.
You may be asked for updated documents along the way—this is normal.

Once final approval is issued, you’re cleared to close.

 

Closing Day

Closing usually happens at a local title company.
Once documents are signed and the sale is recorded with the county, the keys are officially yours.

This is the moment all your preparation leads to—your first home in Washington.

 

Final Thoughts

Buying your first home doesn’t have to feel overwhelming. With the right guidance, a clear plan, and someone to walk you through each step, you can approach the entire process with confidence and excitement. Your first home is a major milestone, and you deserve support every step of the way.

 

If you're preparing to buy your first home in Washington and want clarity on your budget, loan options, or next steps, reach out anytime. I’m here to make your first homebuying experience smooth, supportive, and successful.

 

Written by: Lani Fisher, Washington Realtor & First-Time Homebuyer Specialist

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