Understand a way to find and finance the right home for you Buying a home takes a great deal of your time and energy, but these 10 steps can help make the house buying process manageable and make the most effective possible decisions. 1. Start your research early As soon as you'll be able to, start reading websites, newspapers, and magazines that have property listings. Take note of the private houses you are interested in and see how long they stay on the market. Also, be aware of any changes in sales prices. This will give you the idea of most housing trends in the specific area. 2. Determine how much house you can afford Lenders in general recommends that individuals should look for homes that will cost not more than 3 to 5 times of their annual income, if the home buyers attempt to make 20% down payment and have moderate amount of debt. But you must make this determination based on your own financial situation . 3. Get Prequalified and Pre-Approved for Your Mortga