First-Time Homebuyer’s Guide to Winning in 2025: Do This First

Buying your first home in 2025 might feel overwhelming, but here’s some good news: this year’s market is actually working in your favor in many ways. In Columbus and across Central Ohio, inventory is up and pricing is more realistic, so first-time buyers have better opportunities than we’ve seen in years.

But here’s the thing – success in homebuying isn’t about luck. It’s about doing the right things in the right order. So let’s cut through the noise and focus on exactly what you need to do first to win in today’s market.

Step One: Get Your Money Sorted Out (This Is Everything)

Before you even think about scrolling through Zillow or driving around neighborhoods, you need to get crystal clear on your financial situation. This isn’t the fun part, but it’s the most important part.

Figure Out What You Can Actually Afford

Here’s a reality check: just because a lender says you qualify for a $400,000 mortgage doesn’t mean you should borrow that much.

Clean Up Your Credit Score

Your credit score is like your financial report card, and lenders take it seriously. A difference of just 50 points can save you thousands of dollars over the life of your loan. Pull your credit reports from all three bureaus and look for any errors or issues you can fix.

If your score needs work, focus on paying down existing debt and making all payments on time. Avoid opening new credit cards or making major purchases while you’re in the homebuying process.

Save More Than Just Your Down Payment

While some programs let you put down as little as 3%, you’ll need money for more than just the down payment. Plan for closing costs (usually 2-5% of the home price), moving expenses, immediate repairs, and an emergency fund for unexpected homeownership costs.

Step Two: Get Pre-Approved (Not Just Pre-Qualified)

Once your finances are in order, getting pre-approved for a mortgage is your next move. This isn’t the same as getting pre-qualified – pre-approval means a lender has actually reviewed your financial documents and committed to lending you a specific amount.

Shop around with at least three different lenders. Interest rates can vary significantly between lenders, and even a small difference adds up to big savings over 15 or 30 years.

During this process, you’ll learn about first-time buyer programs that could save you serious money. FHA loans, VA loans (if you’re a veteran), USDA loans for rural areas, and state-specific programs all offer benefits like lower down payments or reduced interest rates.

Step Three: Understand the 2025 Market Advantage

Here’s where 2025 gets interesting for first-time buyers in Columbus. Central Ohio is seeing more inventory and more realistic pricing compared to the frenzy of 2021–2022. As of early fall 2025, active listings across the Columbus metro are up roughly 17% year-over-year, and buyers are seeing more price reductions than last year.

This doesn’t mean houses are cheap – they’re still expensive compared to historical standards. But it does mean you have more options, less competition, and better negotiating power than buyers had a few years ago. Homes are taking longer to sell (around 60 days on average in the fall), the typical sale-to-list price is hovering near 99%, and price cuts are increasingly common—especially in the $350k–$500k range.

Research Your Target Areas Smart

Don’t just look at pretty pictures online. Dig into the data:

• How long are homes staying on the market?
• What percentage of asking price are they selling for?
• Are there new developments or major employers coming to the area?
• What are the property tax rates and HOA fees?

In Columbus, compare suburbs like Westerville, Gahanna, New Albany, Upper Arlington, Dublin, and Hilliard, and in-town neighborhoods like Short North, German Village, Clintonville, Victorian Village, and Italian Village — each has different price points, tax rates, HOA presence, commute patterns, and walkability. Days on market and competition can vary a lot between these spots.

Use this information to set realistic expectations and develop your offer strategy.

Step Four: Build Your Professional Team

You wouldn’t climb Mount Everest without a guide, and you shouldn’t buy a house without the right team. Start building these relationships early:

Find the Right Real Estate Agent

Look for an agent who specializes in working with first-time buyers and knows your target areas well. They should be patient with your questions, responsive to your needs, and willing to educate you throughout the process.

Line Up Your Inspector and Other Professionals

Once you find a house, you’ll need to move quickly. Having a home inspector, insurance agent, and attorney (if required in your area) already identified prevents delays when you’re ready to make an offer.

Step Five: Know Your First-Time Buyer Status

You might qualify as a first-time homebuyer even if you’ve owned property before. According to HUD, you’re considered a first-time buyer if you haven’t owned a home in the past three years, or if you’re a single parent who only owned with a former spouse.

This status opens doors to special programs, grants, and favorable loan terms that can make homeownership more affordable and achievable.

Step Six: Plan Your Timeline Realistically

Successful homebuying typically takes about six months when done right. Here’s how to break it down:

Months 1-2: Foundation Building

• Get finances organized
• Improve credit score if needed
• Save for down payment and closing costs
• Get pre-approved
• Research markets and neighborhoods

Months 3-4: Active House Hunting

• Work with your agent to view homes
• Refine your criteria based on what you see
• Make offers on suitable properties

Months 5-6: Under Contract to Closing

• Home inspection and appraisal
• Finalize mortgage details
• Handle any needed repairs or negotiations
• Close on your new home

The Bottom Line: Preparation Beats Speed

In 2025’s more balanced market, the winners aren’t necessarily the fastest buyers – they’re the most prepared ones. While some buyers rush into the process and make costly mistakes, you can take advantage of improved market conditions by being thoroughly prepared.

Start with your finances, get pre-approved, understand your market, build your team, and then begin your search. This methodical approach might not be as exciting as jumping straight into house hunting, but it’s the difference between buying a house you love and can afford versus buying a house that becomes a financial burden.

The 2025 market offers real opportunities for first-time buyers who do their homework. Take advantage of increased inventory, more negotiating power, and better selection by being the buyer who’s ready to act when the right opportunity comes along.

Ready to get started? The first step is always the hardest, but it’s also the most important. This is why you need someone who understands the market, the homebuying process, and how to prep you so there are no surprises. Reach out to me; even if you’re a year or two out!