First-Time Home Buyer Roadmap: Pre-Approval to Keys in Texas

Step 1: Get pre-approved (typically a few days to 2 weeks)

A lender reviews your credit, income, assets and debts and tells you how much you can borrow. Ask about FHA, VA, USDA and conventional options, and about down payment assistance. Then set a budget you're comfortable with, not just the maximum.

Step 2: Sign a buyer representation agreement (before your first showing)

New in 2026: since January 1, 2026, Texas law (Occupations Code Sec. 1101.563) requires a written agreement between a buyer and the agent before the agent shows you a home. If no home is shown, the agreement is required before the agent presents an offer for you. The agreement must state:

• the services the agent will provide
• when the agreement ends
• whether it's exclusive or non-exclusive
• whether the agent represents you
• how much the broker will be paid and how that's determined

It must also say, in conspicuous language, that broker compensation is not set by law and is fully negotiable. Read it, ask questions, and ask for TREC's Information About Brokerage Services form.

Step 3: Search and tour (varies widely)

Narrow down areas, commute, schools and must-haves. Compare homes side by side and look at recent sold prices so you know what a home is really worth.

Step 4: Make an offer

Most resale offers use the TREC One to Four Family Residential Contract (Resale). It sets the price, earnest money, option fee and option period, financing, who pays for the title policy and survey, and the closing date.

Step 5: The Texas option period

For an agreed option fee, you get the unrestricted right to terminate the contract for any reason within the number of days you negotiate. Key rules from the TREC contract:

• Deliver the option fee and earnest money to the title company within 3 days after the effective date. If you miss the option fee deadline, you lose the unrestricted right to terminate.
• If the deadline falls on a weekend or legal holiday, it moves to the next business day.
• Termination notice must be given by 5:00 p.m. local time on the last day.
• If you terminate in time, the option fee isn't refunded but your earnest money is. If you close, the option fee is credited to the price.

Use this window for a general inspection by a TREC-licensed inspector, specialty inspections if needed, insurance quotes, and repair negotiations, all in writing.

Step 6: Appraisal

Your lender orders an appraisal. If it comes in low, you can renegotiate, bring more cash, or use any appraisal protections in your contract.

Step 7: Final loan approval

Respond quickly to document requests. Don't open new credit or change jobs. Under federal rules, you'll receive your Closing Disclosure at least 3 business days before closing. Compare it to your Loan Estimate.

Step 8: Title, survey and insurance

The title company issues a title commitment for you to review. You'll get an existing survey (with a T-47 affidavit) or a new one, and you'll bind homeowners insurance (plus flood insurance if needed).

Step 9: Final walkthrough and closing

Confirm the home's condition and any agreed repairs. Bring a photo ID and your funds to close. Confirm wiring instructions by phone with your title company, never by email alone. Sign, fund, record, and get your keys.