Things Needed To Buy A House May 2026

: Your total monthly debt payments (including the new mortgage) should generally not exceed 36–43% of your gross monthly income.

Lenders use "The 4 C’s"—Capacity, Capital, Credit, and Collateral—to evaluate your eligibility. things needed to buy a house

You need enough cash on hand to cover immediate costs and reserves to satisfy lenders. : Your total monthly debt payments (including the

: Signed copies of federal tax returns for the previous two years. : Signed copies of federal tax returns for

: This is the portion of the purchase price you pay upfront. While 20% is often cited to avoid private mortgage insurance (PMI), many buyers put down as little as 3% to 3.5% .

: Lenders often want to see that you have several months of living expenses saved beyond your down payment to handle unexpected repairs or job loss. 2. Loan Qualification Requirements