A Guide for First-Time Homebuyers in Austin, Texas

A Guide for First-Time Homebuyers in Austin, Texas

If you’re considering buying a home for the first time, congratulations! It’s one of the most rewarding purchases you’ll ever make and comes with a huge list of benefits. At Dream Finders Homes, we make the process simple and want you to be confident in taking the leap into homeownership. When it’s your first time buying a home in Texas, you’re bound to have many questions and concerns, but we’re happy to offer our expertise and guidance. We’ve helped many first-time homebuyers like yourself find the right home in the suburbs of Austin, TX. Let’s dive into some things you should know about buying a home here.  

What to Know When Buying a Home in Austin or the Surrounding Area


One of the first things you’ll want to think about when buying a home in Austin is your budget. Buying a home includes a lot of different costs aside from the price of the home itself. The down payment can be one of the biggest upfront costs, but there are also things like the appraisal, inspection, and insurance that will factor into your home. Understanding what your budget and how much you can afford will set you off on the right foot.

buying a new home in Austin TX

Preapproval & Loans

Finding a lender and getting preapproved for a loan is one of the first steps to better determine your budget. You can start with a mortgage calculator to get an estimate of what you can afford with your income. However, it’s best to work with a lender who can gather information from you like tax returns, pay stubs, and other financial information to help find the best loan type for you. There are several types of loans offered in Texas:
  • Conventional - Good for those with high credit scores and a sizable down payment.
  • FHA - Better for those with a lower credit score and not as much of a down payment.
  • VA - Specialized to members of the US military, veterans, and their spouses. No down payment is required.
  • Fixed-Rate Mortgage - Charges the same interest rate over the life of the loan. Better for those planning to stay in the home for many years as loan terms are often 15, 20, and 30 years.
Adjustable-Rate Mortgage - Charges an interest rate that can vary over the life of the loan as the market changes. Better for those planning to stay in the home for less time and want a low monthly payment to start.

Closing Costs

how much are closing costs on homes in Austin

Something you will need to account for are upfront expenses such as closing costs. Closing costs can vary, they are paid at the end of purchasing your home, and cover things like attorney fees, appraisal fees, and title insurance. Texas offers a few benefits to other states when it comes to closing costs. The state does not impose transfer taxes on real estate sales nor is title insurance legally required (it’s also regulated by the state). Closing costs can be as high as 5% of the home’s sales price so be sure to work with your lender as you may qualify for government-backed grants or loans that assist with closing costs. You may also qualify for assistance with the down payment, and Dream Finders works with a trusted lender to offer you great incentives.  

The Best Homes in the Suburbs of Austin, TX!

Now that you know a bit about buying a home in Austin, it’s time to find the right community to call home. Dream Finders Homes builds the best new homes near Austin, TX. A new home community allows you to take advantage of a place specifically designed to cater to a range of lifestyles, wants, and needs. You can expect to live in a tight-knit, welcoming community atmosphere with tons of amenities and access to everyday conveniences. Our communities have something for everyone. homes for sale Austin Texas

Blanco Vista | San Marcos, TX Located just off of I-35, Blanco Vista features a range of single family homes with one- and two-story designs. You can stay within the community and enjoy the best of both worlds. Get a workout in at the Junior Olympic-sized swimming pool while the kids cool down in the splash. You can explore and connect with nature on the hiking/biking trails or fish in serenity at the fishing pond. Then in a short drive, tour the natural beauty that surrounds the San Marcos River or venture to local shops and restaurants. Castlewood | Taylor, TX Easy access to Austin employment centers, the Austin Bergstrom International Airport, and downtown Austin are just the start of the prime location of Castlewood. You’ll find an array of family-friendly and outdoor activities, unique shops and restaurants, and even more to love within the city of Taylor. From camping at Lake Granger to the playgrounds at Murphy Park, it’s a great place to live. Not to mention the exceptional homes. We have 10 thoughtfully designed single family floor plans with 50’ and 60’ spacious homesites. Orchard Ridge | Liberty Hill, TX Orchard Ridge was established on five principles (healthy living, engagement, design, connectivity, and stewardship) that are evident in the range of amenities. All you have to do is ask yourself, “What do I want to do today?” It features an abundance of extensive trails, parks, a state-of-the-art amenity center that includes a resort-style pool and a splash pad, an outdoor pavilion with a fireplace, multiple BBQ grills, an expansive fitness center, and a community garden. Young families will also have the benefit of being within the acclaimed Leander ISD. After all of the adventure, you can retreat to a contemporary new home designed for modern lifestyles with upgraded features. If you just can’t wait to call one of these communities home, you’ll be happy to know that we have many quick move-in homes available for a faster move-in timeframe.  

Contact Dream Finders Today!

There’s a lot to learn when buying your first home. But our team is excited to help you navigate the process. Take a moment to browse our homes near Austin and let us know if you have any questions.

Categories: Texas