The Central Florida
First-Time Buyer Playbook
A plain-English breakdown of everything you need to know before buying your first home in Orlando, Winter Garden, Clermont, and surrounding areas.
Schedule My Free Buyer CallHow Much Do You Actually Need to Buy a Home?
The biggest myth holding first-time buyers back is the belief that you need 20% down. For most buyers in Central Florida, that simply isn't true. Here's what's actually available:
FHA Loan
As little as 3.5% down with a credit score of 580+. The most common choice for first-time buyers in Florida.
Conventional Loan
As little as 3% down for qualified first-time buyers with stronger credit. PMI can be removed once you hit 20% equity.
VA & USDA Loans
$0 down for eligible veterans and active-duty military (VA), or buyers in eligible suburban/rural areas (USDA).
| Purchase Price | 3% Down (Conv.) | 3.5% Down (FHA) | With Lender DPA |
|---|---|---|---|
| $250,000 | $7,500 | $8,750 | $0 Down Payment* |
| $300,000 | $9,000 | $10,500 | $0 Down Payment* |
| $350,000 | $10,500 | $12,250 | $0 Down Payment* |
| $450,000 | $13,500 | $15,750 | $0 Down Payment* |
*Lender DPA covers down payment. Closing costs may still apply. Rate may be slightly higher than standard FHA. Subject to qualification.
What Credit Score Do You Need?
Your credit score affects which programs are available and what rate you'll receive. You don't need perfect credit — but knowing where you stand is important before you start.
| Credit Score | Programs Available | What to Expect |
|---|---|---|
| 760+ | All loan types | Best pricing and widest options available |
| 700–759 | All loan types | Very competitive rates and programs |
| 640–699 | FHA, Conventional, some DPA | Strong options still available |
| 580–639 | Standard FHA only | Higher rates; compensating factors may be needed |
| Below 580 | Very limited | Credit improvement plan is the best first step |
Quick Ways to Improve Your Score
Lower Card Balances
Try to keep credit card balances below 30% of the limit. This alone can move your score meaningfully.
Avoid New Accounts
No new credit cards, car loans, or financing before or during the mortgage process.
Dispute Errors
Credit report errors are more common than you'd think. Review all three bureaus and dispute anything inaccurate.
Be Consistent
Six months of on-time payments and low balances can make a significant difference before you apply.
FHA vs. Conventional — Which Is Right for You?
These are the two most common loan types for first-time buyers. The right choice depends on your credit, savings, and long-term goals. Here's how they compare side by side:
| Feature | FHA Loan | Conventional Loan |
|---|---|---|
| Min. Down Payment | 3.5% | As low as 3% |
| Min. Credit Score | 580 (standard FHA) | 620+ |
| Mortgage Insurance | MIP — required for life of loan (if <10% down) | PMI — removable once you reach 20% equity |
| 2026 Loan Limit (most FL counties) | $541,287 | $832,750 |
| Best For | Lower credit or limited savings | Stronger credit; lower long-term cost |
Down Payment Assistance Programs Available Now
As a mortgage broker I work with select wholesale lenders that offer built-in down payment assistance — covering some or all of your FHA down payment so you can get into a home with little to no money out of pocket.
Grant Program
Some lender programs provide the 3.5% FHA down payment as a grant — meaning it never needs to be repaid. You get into the home with essentially $0 down on the down payment itself.
- 3.5% FHA down payment fully covered
- No repayment — ever
- Combined with standard FHA financing
- Min. credit score: 620–640
- Rate may be slightly higher than standard FHA
6-Month Forgivable Second Lien
One of my lenders offers a forgivable second lien that is fully forgiven after just 6 months — far faster than typical 3–5 year programs.
- 3.5% FHA down payment covered
- Forgiven after just 6 months
- Effectively functions as a grant
- Min. credit score: 620–640
- Rate may be slightly higher than standard FHA
What to Expect: Pre-Approval to Closing
Buying a home feels a lot less stressful when you know exactly what's coming next. Here's the process from start to keys in hand:
Get Pre-Approved
Brandt reviews your credit, income, and assets. You receive a pre-approval letter showing sellers exactly what you can afford — and which loan programs fit your situation.
Start House Hunting
You shop with your realtor knowing your exact budget, estimated monthly payment, and loan program. Your pre-approval letter makes offers competitive and taken seriously.
Offer Accepted
Your offer is accepted. A home inspection and appraisal are ordered. Your earnest money deposit is submitted to hold the property.
Underwriting
The lender verifies all documents. You may be asked for additional paperwork — respond quickly to keep things moving smoothly toward approval.
Clear to Close
Final approval is received. Your Closing Disclosure arrives at least 3 business days before closing — review it carefully and confirm all numbers match what you were quoted.
Keys in Hand
You sign your documents, pay your closing costs, and officially become a homeowner. Congratulations — you did it.
5 Mistakes First-Time Buyers Should Avoid
These are the most common — and most costly — mistakes I see first-time buyers make. Knowing about them in advance puts you ahead of most buyers.
Opening New Credit Before Closing
New accounts lower your score and change your debt-to-income ratio. No new cards, car loans, or financing until after you have keys.
Shopping Without Pre-Approval
Without a pre-approval letter, sellers won't take your offer seriously — and you may fall in love with a home outside your real budget.
Underestimating Closing Costs
Closing costs are separate from your down payment — typically 2–4% of the purchase price. Budget for this early to avoid surprises at the table.
Changing Jobs Mid-Process
Job changes can complicate or delay approval — even if the new job pays more. Wait until after closing if you can.
Not Comparing Loan Options
The first loan you're offered isn't always the best. Always ask about FHA, conventional, VA, USDA, and DPA programs side by side.
Waiting Too Long to Ask
Most buyers wait 2–3 years longer than necessary. A 15-minute call can tell you exactly where you stand — no pressure, no obligation.
Ready to Find Out What You Qualify For?
Whether you're ready to start now or just want to understand your options, I'm here to help. No pressure, no sales pitch — just honest answers from a local Central Florida mortgage broker.