First-Time Homebuyer Tips for Memphis and Shelby County

Buying your first home is exciting — and full of new terms. These tips will help Memphis-area first-time buyers move from browsing to closing with confidence.

1. Know your real budget

Your monthly payment includes principal, interest, property taxes, homeowners insurance, possibly mortgage insurance, and any HOA dues. Use our affordability and payment calculators to find a comfortable range — not just the maximum a lender approves.

2. Get pre-approved early

A pre-approval from a local lender shows sellers you’re serious and helps you understand loan options such as conventional, FHA, VA, and USDA.

3. Explore down payment assistance

Tennessee and some local governments offer programs for eligible buyers. The Tennessee Housing Development Agency (THDA), for example, offers first-time buyer loan programs with down payment assistance for qualifying buyers. Ask your lender which programs fit your situation.

4. Budget for closing costs

Plan for title insurance, lender fees, Tennessee recording taxes, prepaid insurance, and escrow deposits. Sellers sometimes contribute toward buyer costs through negotiated concessions.

5. Don’t skip the inspection

A professional inspection can uncover roof, HVAC, foundation, or plumbing issues before you’re committed.

6. Choose an owner’s title policy

It’s a one-time cost that protects your ownership from covered title defects for as long as you own the home.

7. Protect your down payment

Wire fraud targets first-time buyers. Always call your title company at a verified number before sending funds.

8. Keep your credit steady

Avoid new credit cards, car loans, or big purchases until after closing — lenders often re-check credit right before funding.

Related: Mortgage Calculators · Owner’s vs Lender’s Title Insurance · Wire Fraud Prevention

This article is general information, not legal, tax, or financial advice. Every transaction is different — consult your attorney, lender, or tax professional about your situation.