Buying your first home is exciting, and it can also feel confusing. There are new terms, new people, and a lot of paperwork. The good news is that the process follows a clear path. Here’s how it works in the Portland area, step by step.
Step 1: Talk to a lender first
Before you look at homes, talk with a mortgage lender. A lender reviews your income, debts, and credit and tells you how much you may be able to borrow. A preapproval letter also shows sellers you’re a serious buyer.
This is also the time to ask about help for first-time buyers. Oregon Housing and Community Services (OHCS) offers home loan programs through approved lenders. Its FirstHome loan is designed for first-time buyers and can include down payment assistance. OHCS also funds local organizations that offer down payment help to eligible buyers, often with income limits and a homebuyer education class.
Program details change, so ask your lender which options you qualify for today.
Step 2: Choose your broker and sign a buyer agreement
In Oregon, a broker who represents you as a buyer must have a written buyer representation agreement with you. This rule took effect on January 1, 2025. The agreement should be signed before your broker starts helping you find or buy a home, or as soon as possible after.
The agreement explains things like:
- How long it lasts
- The area and price range you’re looking in
- How your broker may be paid
- How either of you can end it
You’ll also receive Oregon’s Initial Agency Disclosure Pamphlet. It explains what your broker owes you, including loyalty, honesty, and keeping your information confidential.
Read these documents carefully and ask questions. A good broker will walk you through every line. For a binding interpretation, consult a licensed real estate attorney in Oregon.
Step 3: Get clear on what you want
Make a short list of what matters most to you. For example:
- Your budget, including monthly costs like taxes and insurance
- Your commute and daily routine
- The size and type of home you need
- Features that matter to you, like a yard, garage, or office
The Portland area offers many choices, from the city itself to Beaverton, Lake Oswego, and nearby communities. I help my clients compare homes based on what they need and what they can afford, not on assumptions about who lives where. If you’re moving here from another city, my guide to moving to Portland may help too.
Step 4: Tour homes and make an offer
Once you find a home you like, your broker helps you write an offer. An offer usually includes:
- Your price
- Earnest money, a deposit that shows you’re serious
- Contingencies, conditions that protect you, such as getting your loan approved or being satisfied with the inspection
- Your timeline for closing
The seller can accept, reject, or counter your offer. Your broker helps you decide how to respond.
Step 5: Get a home inspection
Once your offer is accepted, it’s time for the home inspection. A licensed inspector looks at the roof, foundation, plumbing, electrical, heating, and more.
Depending on the home’s age and features, your inspector may suggest extra checks, such as the sewer line, an old heating oil tank, or radon. In our rainy climate, it’s also smart to pay attention to drainage, gutters, and signs of moisture.
If the inspection finds problems, you may be able to ask the seller for repairs or a credit, or walk away, depending on your contract.
Step 6: Appraisal, loan approval, and escrow
Your lender orders an appraisal to confirm the home’s value. Meanwhile, an escrow company handles the money and documents, and a title company checks that the seller can legally transfer the home.
One local note: Washington County, which includes Beaverton, has a real estate transfer tax that is paid by the seller. Your broker and escrow officer can explain all of your closing costs before you sign.
Step 7: Closing day
Before closing, you’ll do a final walkthrough to make sure the home is in the condition you expect. Then you’ll sign your loan and closing documents with the escrow company. Once the deed is recorded, you get the keys.
Common questions from first-time buyers
How much do I need for a down payment?
It depends on your loan type and any assistance programs you qualify for. Some programs can help with the down payment and closing costs. Your lender can give you real numbers.
Do I need to sign an agreement with my broker?
Yes. Since January 1, 2025, Oregon requires a written buyer representation agreement when a broker represents you as a buyer.
Can I buy a home with a Spanish-speaking broker?
Yes. I work with buyers in English and Spanish, and I’m happy to explain every step in the language you’re most comfortable with. You can also read this guide in Spanish: Cómo comprar su primera casa en Portland, Oregon.
Ready to start?
Buying your first home is a big step, and you don’t have to figure it out alone. Whether you’re just starting to save or you’re ready to tour homes, I’d be glad to help you make a plan. Reach me at Javier@JavierPDX.com or 503.343.5561, or learn more about me.
Javier Puga-Phillips is a real estate broker with Cascade Hasson Sotheby’s International Realty in Portland, Oregon, and Vice Chair of Pride Connect, a Sotheby’s International Realty affinity group for LGBTQIA+ advisors and allies. He serves buyers and sellers in Portland, Beaverton, and Lake Oswego, in English and Spanish.
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