The Homebuying Process in Texas: 7 Steps From Pre-Approval to Closing
Where do you start? How much can you afford? When should you talk to a lender? When do you find a Realtor? And what actually happens between making an offer and getting the keys?
The good news is that you don't have to figure it all out on your own.
At TLP Mortgage, we believe homebuyers should understand the process before making one of the biggest financial decisions of their lives. Whether you're buying your first home in San Antonio or you've purchased before, knowing what to expect can help you move forward with more confidence.
Here's a simple breakdown of the homebuying process in seven steps.
Quick Answer: What Are the Steps to Buying a Home?
The homebuying process generally includes:
Getting pre-approved for a mortgage
Determining your homebuying priorities
Choosing a real estate professional and shopping for homes
Making an offer
Completing the mortgage process
Satisfying final loan and property requirements
Signing your closing documents and getting the keys
Your exact experience may vary depending on your loan program, property, contract, and financial situation.
Step 1: Get Pre-Approved for a Mortgage
One of the smartest things you can do early in your home search is talk with a mortgage professional.
A mortgage pre-approval helps you understand what financing may look like based on factors such as your income, assets, debts, credit profile, and the loan programs available to you.
But there's an important distinction:
The goal isn't simply to find the highest home price you can qualify for. It's to find a mortgage payment and homebuying budget you're comfortable with.
Your TLP Mortgage loan advisor can help you explore:
Potential purchase-price ranges
Estimated monthly payments
Down payment options
Estimated closing costs
Available loan programs
Potential homebuyer assistance programs
Interest-rate and payment scenarios
Depending on your qualifications, options could include conventional, FHA, VA, USDA, down payment assistance, and other specialized mortgage programs.
Why does a pre-approval matter when making an offer?
A pre-approval can show a seller that you've already taken steps toward securing financing.
Your Realtor may include your pre-approval letter when submitting an offer, particularly when proof of financing is requested or beneficial to the offer.
Starting the financing conversation early can also help uncover potential issues before you've fallen in love with a house.
Step 2: Decide What Matters Most in Your New Home
Once you have a better understanding of your budget, start thinking about what you actually need from a home.
Separate your list into:
Must-haves and nice-to-haves.
Your priorities might include:
Location
Commute
Number of bedrooms and bathrooms
Yard size
Home office
Garage
Age and condition of the property
Neighborhood amenities
Proximity to family, work, shopping, or recreation
New construction versus an existing home
Move-in ready versus a home needing improvements
Your priorities can—and probably will—change once you start touring homes.
That's okay.
The goal is to have a starting point that keeps you focused on the things that matter most.
Step 3: Choose a Real Estate Professional and Start Shopping
A knowledgeable real estate professional can be an important member of your homebuying team.
Your agent can help you search for properties, schedule showings, understand local market conditions, prepare offers, negotiate contract terms, and guide you through the real estate side of the transaction.
Your Realtor and mortgage advisor have different roles, but they should work together throughout the process.
Your lender helps you understand the financing.
Your real estate professional helps you navigate the property search and purchase contract.
And remember: being approved for a certain amount doesn't mean you have to spend that amount.
Consider the monthly payment, taxes, homeowners insurance, HOA dues when applicable, maintenance, utilities, and your other financial goals when deciding what you're comfortable spending.
Step 4: Find a Home and Make an Offer
You found it—the house that checks the important boxes and works with your budget.
Now it's time to make an offer.
Your real estate professional will help you determine an appropriate offer based on the property, local market, comparable sales, your goals, and current competition.
An offer can involve much more than the purchase price.
Depending on the transaction, you may also negotiate items such as:
Closing date
Seller contributions
Option or inspection periods
Repairs
Personal property
Financing terms
Other contract provisions
Your financing documentation may also accompany your offer.
The seller can accept the offer, reject it, or make a counteroffer. Negotiations can continue until both parties reach an agreement—or decide not to move forward.
Once you're under contract, things start moving quickly.
Step 5: Complete the Mortgage Process
If you've already been pre-approved, your mortgage team has a head start.
Now we update your loan file with information about the property and move into the processing and underwriting stages.
Depending on your loan and financial situation, you may be asked to provide or update documents such as:
Government-issued identification
Recent pay stubs
Bank or asset statements
Employment information
Income documentation
Tax documents, when applicable
Information regarding debts or other financial obligations
Documentation regarding funds being used for closing
Not every borrower needs the same documents.
A self-employed borrower, for example, may need different documentation than a salaried employee.
Your TLP Mortgage advisor will tell you exactly what's needed for your situation.
What happens during mortgage underwriting?
An underwriter reviews the loan to determine whether it meets the requirements of the selected mortgage program.
The underwriter may review your:
Income
Employment
Assets
Credit
Debts
Property information
Loan documentation
It's completely normal for an underwriter to request additional information or documentation during this stage.
Don't panic when that happens.
Responding quickly and completely can help keep your loan moving.
Step 6: Complete Your Loan and Property Requirements
Getting a mortgage involves approving more than the borrower.
The property must also meet applicable lender and loan-program requirements.
Depending on the loan and transaction, this part of the process may involve:
An appraisal
Title work
Homeowners insurance
Verification of income or employment
Updated asset documentation
Documentation of deposits or funds used for closing
Additional property-related requirements
Other underwriting conditions
The exact requirements depend on your loan program and individual circumstances.
What does “clear to close” mean?
You'll probably be very happy when you hear these words.
Clear to close generally means the lender's required underwriting conditions have been satisfied and the loan can move toward closing, subject to any remaining closing or funding requirements.
You're almost there.
Step 7: Review Your Closing Disclosure and Sign
Before closing on most mortgages, you'll receive a closing disclosure showing the final details of your loan.
It includes important information such as
Loan terms
Monthly principal and interest
Closing costs
Cash needed to close
Other details about the mortgage
Review it carefully.
If something doesn't make sense, ask your mortgage team before closing day.
At closing, you'll sign the documents necessary to complete your purchase and mortgage transaction.
Once all applicable closing and funding requirements have been satisfied and the transaction is completed, it's time for the part you've been waiting for:
Getting the keys to your new home.
Frequently Asked Questions About the Homebuying Process
Should I talk to a lender or Realtor first?
You can connect with either professional first, and a good Realtor and lender will work together. However, speaking with a mortgage professional early can help you understand your financing options and budget before you begin seriously shopping for homes.
How far in advance should I get pre-approved?
If you're considering buying within the next several months, it can be worthwhile to start the conversation now. Even if you're not ready to make an offer, your mortgage advisor can help identify steps you may want to take before purchasing.
Does getting pre-approved guarantee I'll receive the mortgage?
No. A pre-approval isn't a final loan approval or commitment to lend. Final approval depends on factors including continued borrower qualification, acceptable property and loan documentation, underwriting, and satisfaction of applicable conditions.
How much money do I need to buy a house in Texas?
There isn't one answer for every buyer.
The amount you need depends on your loan program, down payment, closing costs, prepaid expenses, property, available credits or assistance, and other factors.
Some qualified buyers may have access to low-down-payment, no-down-payment, or down payment assistance options.
Do first-time homebuyers have special programs available?
Potentially. Texas buyers may have access to programs offering down payment and/or closing-cost assistance, subject to program guidelines and borrower eligibility.
And here's something many buyers don't realize: you don't always have to be a first-time homebuyer to qualify for homebuyer assistance.
Ask your TLP Mortgage advisor which programs may apply to your situation.
How long does it take to buy a home?
There is no universal timeline. Finding the right property could take days or months, and the timeline after you're under contract depends on your purchase agreement, financing, appraisal, title work, underwriting, and other factors.
That's another reason assembling your homebuying team early can help.
Your Homebuying Journey Starts Before You Find the House
You don't need to know everything about mortgages before you buy a home.
You just need a team willing to explain it.
At TLP Mortgage, our approach is education first. We want you to understand your options, your numbers, and what comes next so you can make informed decisions throughout the homebuying process.
Whether you're a first-time homebuyer in San Antonio, relocating to Texas, using your VA home loan benefit, or simply ready for your next home, we're here to help you understand your financing options and create a plan for getting started.
Not sure if you're ready to buy yet? That's okay.
A conversation with a TLP Mortgage advisor can help you figure out where you stand, what your next step should be, and what homeownership could look like for you.
Loan programs, guidelines, terms, interest rates, assistance programs, and eligibility requirements are subject to change and borrower qualification. A pre-approval is not a commitment to lend. This information is provided for educational purposes.
