Buying your first home is a big decision, and most buyers need financing to make it happen. The good news is that the path is clear once you know the steps and have your paperwork ready before you start looking.
1. Work out what you can afford
Start with the monthly payment that will not strain your budget, then the down payment you can realistically save. Remember the cost is more than the price tag: there are government fees, brokerage fees, insurance and valuation costs.
2. Compare lenders
Banks and finance companies differ in profit rate, repayment period and down payment. Do not settle for one offer. Ask several lenders and compare the real numbers, not just the advertising.
3. Get a preliminary approval
A preliminary approval tells you your financing ceiling and gives you negotiating strength with sellers, because you know your budget exactly.
4. Choose the property and submit the full application
Once you pick a property, the lender values it and checks its documents, then issues the final offer. Read the contract terms carefully before you sign.
Common documents
The list varies by lender, but you will usually need the following:
| Document | Why it is requested |
|---|---|
| National ID or residency permit | Identity check |
| Salary certificate or proof of income | Estimating a suitable instalment |
| Recent bank statement | Reviewing commitments and savings |
| Documents of the chosen property | Ownership check and valuation |
Tips to improve your chances
- Pay down or reduce existing obligations before applying.
- Avoid new credit applications while yours is being reviewed.
- Collect your documents in advance so the application is not delayed.
- Ask about administrative fees and early-settlement fees before signing.
Note: this article is general information, not financial advice. Terms differ by lender and programme, so confirm them directly before you decide.
Have a question about financing? The Buyut Ahlam team can help you understand your options and match you with a property that fits your budget.
