Topics in this step

Your team
Loan options and pre-approval
Step 2 checklist

Assemble your team.

One nice thing about the homebuying process? You don’t have to do it alone.  First of all, you’re going to want a loan officer – unless you’re planning to pay cash. And when you’re ready to start seeing homes, you may want a real estate agent, too.

What does a mortgage loan officer do?

A mortgage loan officer (MLO) is someone who’s licensed to originate financing for residential homes. But you can think of your U.S. Bank MLO as your friendly guide through the mortgage process.

A U.S. Bank MLO can help you:

Understand and choose the best mortgage for your situation.

Learn about things like rates, down-payment assistance programs, mortgage points, and other homebuying and financial considerations.

Work through prequalification, offer letters, and your loan application.

Tackle any other paperwork that might be required for a mortgage.

Find a real estate agent you feel comfortable with.

Ask around. You might know someone who can recommend an agent – including your MLO! Look up the different agents’ websites or online profiles to see their specialties and customer reviews.

Set up an interview with your top choices. Ultimately you want an agent that’s familiar with the area you’re interested in, has worked with first-time homebuyers before and is comfortable with your budget.

After your interviews, request references. Reach out to a few of the agent’s recent clients to how they felt about the process and if they’d hire that agent again.

Go with your gut. You need to work with someone you can trust and feel comfortable with. Since they typically get paid when you make a purchase, you want to work with someone who keeps your best interests in mind.

 If there’s a contract to sign, read it. The contract should include the terms of the agent’s commission, which is often paid by the seller. Also check out the length of the contract: six months or less is reasonable.

What are the best loans for first-time homebuyers?

It’s a great question, and the answer is that it depends on your situation. There’s no one-size-fits-all solution when it comes to mortgages, but we can help you find the right loan for you.

Conventional fixed-rate loan

  • No interest-rate surprises
  • Lowest fixed rate
  • Fewer hoops to jump through
See rates & learn more

FHA loan

  • Down payments can be lower
  • Required credit scores are lower
See rates & learn more

Adjustable-rate mortgage (ARM)

  • The best short-term ARM rates
  • Low monthly payments
See rates & learn more

VA home loan

See rates & learn more

Jumbo mortgage

  • Higher purchase limits
  • Competitive rates
See rates & learn more

USDA Loan

  • Loan rates comparable to conventional mortgages
  • Works for lower-income families
  • Property must be in rural area (population less than 35,000)
Learn more

Ready to start shopping for homes?

If you want to see homes and make offers, start your application for pre-approval.

When you find the perfect home, pre-approval can help you act quickly and prove to the seller that you have the resources to make the purchase. Just remember, pre-approval is usually only good for 90 days and can show up on your credit report. Make sure you’re ready to start making offers when you apply.

Start your application

Special mortgage loans exclusive to U.S. Bank

Looking for a mortgage with flexible requirements and more buyer assistance for limited incomes? We have options that may work for you, depending on criteria like your location or where you want to buy a home. You can also visit our Access Home section for additional resources.

U.S. Bank American Dream Loan

Works with other down payment and grant programs

  • Down payment as low as 3% of purchase price
  • Mortgage insurance paid by U.S. Bank
  • Available in 26 states
Learn more Find a mortgage loan officer

U.S. Bank Access Home Loan

Up to a $5,000 lender credit

  • Down payment as low as 3% of purchase price
  • Mortgage insurance paid by U.S. Bank
  • Works with other down payment and grant programs
  • Available in select locations
Learn more Find a mortgage loan officer

First-time homebuyer checklist: Step 2

Once you’ve accomplished these items, we recommend moving on to the next step.

  • Find a real estate agent.
  • Reach out to a mortgage lender.
  • Apply for pre-approval for a mortgage.
  • Look for your ideal home.
Back to the beginning Step 3: Closing

Articles for your more specific questions

There’s a wide variety of mortgage options. We’ll help you understand what you need to make the best choice.

What’s the difference between pre-approval and prequalification?

Understand the difference

What is the APR on a mortgage?

Learn about mortgage APRs

Compare and contrast FHA vs conventional loans.

Read about these loan types

Here’s how to apply for a mortgage online.

Learn how simple it is to apply

Take the next step

Start your application
Call 888-291-2334
Request a call
Find a mortgage loan officer
Start of disclosure content

Disclosures

Loan approval is subject to credit approval and program guidelines. Not all loan programs are available in all states for all loan amounts. Interest rates and program terms are subject to change without notice. Visit usbank.com to learn more about U.S. Bank products and services. Mortgage, home equity and credit products offered by U.S. Bank National Association and subject to credit approval. Deposit products offered by U.S. Bank National Association. Member FDIC.