Buying your first home is the largest purchase most people ever make. The internet is full of advice. Most of it assumes you already know what you're doing.
This is for the buyer who's never done this before. We'll cover what to actually do, in what order, and the Florida-specific programs that can make a real dent in what you bring to the table.
How much house can you actually afford?
Lenders use a rough rule called the 28/36 rule:
- No more than 28% of gross monthly income on housing costs (mortgage + taxes + insurance + HOA)
- No more than 36% of gross monthly income on all debt (housing + car loans + student loans + credit card minimums)
For a household making $90,000/year ($7,500/month gross), that's a max housing payment of about $2,100/month. In DeLand at current rates, that maps roughly to a $325k–$375k home depending on down payment, taxes, and insurance.
But here's the thing: just because you qualify for a number doesn't mean you should spend it. Buying right at your max payment leaves zero margin for the dishwasher breaking, the AC dying, the property tax going up, the new roof. Most experienced buyers target 70–80% of their qualified maximum.
Florida property insurance has roughly doubled since 2019. A $400k home in DeLand might carry $2,500–$5,500/year in insurance, depending on roof age, flood zone, and storm hardening. Get insurance quotes before you fall in love with a home, not after.
Down payment options
You don't need 20% down. The 20% number is what avoids private mortgage insurance (PMI), but for first-time buyers, it's almost always better to put less down and start building equity sooner.
Conventional loans
3–5% down minimum. Best for buyers with solid credit (700+). PMI applies until you reach 20% equity, but it drops off automatically. Most flexibility on home types and conditions.
FHA loans
3.5% down minimum. More forgiving on credit (580+). Lower interest rates than conventional for buyers with credit under 720. The catch: FHA mortgage insurance lasts the life of the loan unless you refinance later. Property must meet stricter condition standards.
VA loans
0% down for eligible veterans, active-duty, and certain surviving spouses. No PMI ever. Lowest rates on the market. If you're eligible, this is almost always the best deal. Funding fee applies but can be rolled into the loan.
USDA loans
0% down for properties in USDA-eligible rural areas. Parts of DeBary, DeLeon Springs, and unincorporated Volusia County qualify. We can check any specific address against the USDA eligibility map.
Florida-specific programs most people don't know about
Florida has several first-time buyer programs that stack with conventional or FHA loans. They're underused because most buyers never hear about them.
Florida Hometown Heroes Program
For Florida-employed first-time buyers in eligible occupations: teachers, law enforcement, firefighters, healthcare workers, military, and many more. Provides up to 5% of the loan amount as down payment / closing cost assistance, capped at $35,000.
Florida Housing First Time Homebuyer Program
Lower-rate 30-year fixed mortgages for first-time buyers under certain income limits. For Volusia County, income limits in 2026 range roughly $90k–$115k depending on family size — many first-time buyers qualify and don't realize it.
Florida Assist Down Payment Assistance
Up to $10,000 of deferred-payment, 0% interest down payment assistance for buyers using a Florida Housing first mortgage. You don't pay this back until you sell, refinance, or stop occupying the home.
HFA Preferred / HFA Advantage
Reduced PMI rates and lower fees for buyers under income limits. Combined with first-time buyer status, can cut hundreds off your monthly payment.
These programs change. Some have application windows, some have funding caps, all have specific requirements. The right local lender will know which ones you qualify for and apply them automatically.
Closing costs you didn't budget for
Florida closing costs run roughly 2–3% of purchase price for buyers, on top of your down payment. For a $350,000 home, that's $7,000–$10,500 you'll need at closing in addition to your down payment. The big items:
- Title insurance (lender's policy): ~0.5%
- Doc stamps on the mortgage: $0.35 per $100 of loan amount
- Recording fees: a few hundred
- Lender origination and processing fees: $1,000–$2,500
- Appraisal: $500–$700
- Home inspection: $400–$600
- Prepaid property taxes and insurance escrow: 6–14 months upfront
- Prepaid interest: from closing date to first payment
Credit: how to prep before you apply
Your credit score affects your interest rate. A 760 score and a 660 score on the same loan amount can mean a $200/month payment difference — about $72,000 over a 30-year mortgage.
Six months out:
- Pull your credit reports (free at annualcreditreport.com)
- Dispute any errors
- Pay down credit card balances to under 30% of limits
- Don't open new credit accounts
- Don't close old accounts
- Make every payment on time, on every account, no exceptions
From application through closing:
- Don't move money between accounts unless you have to
- Don't apply for any new credit (yes, even that 0% Best Buy offer for the new washer)
- Don't change jobs
- Don't take out gifts from family without proper documentation
The buying process, step by step
- Get pre-approved with at least one lender. Get a real Loan Estimate, not a "you're good for $X" verbal.
- Connect with an agent who works in your target area. Sign a buyer representation agreement.
- Identify your search criteria with your agent: locations, must-haves, dealbreakers, budget.
- Set up MLS alerts so you see new listings the moment they hit.
- Visit homes in person. Photos always look better than reality. Walk in.
- Make an offer. Your agent writes it. You review and sign.
- Negotiate. Counter-offers, term changes, concessions. Most offers don't accept on the first try.
- Under contract. Inspections, appraisal, title work, final loan underwriting all happen in parallel.
- Inspection. Negotiate any major repairs or credits.
- Appraisal. If it comes in low, decide whether to renegotiate or cover the gap.
- Closing disclosure arrives 3 business days before closing. Read every line.
- Final walk-through the day before closing. Confirm everything's still there and working.
- Closing. Sign approximately 50 documents at the title company. Bring ID and a cashier's check.
- Keys. The home is yours.
The buyer who's calmest at closing has done the most homework before contract.
Common first-timer mistakes
Falling in love with the first house you see. View at least 5–7 in your range so you have a sense of what your dollars actually get.
Forgetting about ongoing costs. Property taxes (1.0–1.5% of value/year in Volusia), insurance, HOA, maintenance (budget 1% of value/year), utilities. Renting hides these. Owning surfaces them.
Skipping the inspection to "win" a multiple-offer. Don't. There are other ways to make your offer competitive. Inspections protect you from $30k surprises.
Buying because rates might go up. Buy when you're financially ready. Rates fluctuate; your readiness matters more.
Underestimating the emotional rollercoaster. You will lose homes you wanted. You will overspend on inspections that turn up nothing. You will find a place that feels right and a week later wonder what you missed. This is normal. Trust your agent. Take a beat. Then keep going.