Rachel Cruze’s 10 Steps to Buy a House in Today’s Market
Buying a home is still one of the smartest financial decisions someone can make, if it’s done right. It’s not just about owning property, it’s about protecting your budget now and building wealth long term.
This gallery walks through Rachel Cruze’s 10 steps to buy a house, breaking down how to shop smart, stay on budget, and avoid costly mistakes.
👉 Click through the slides to see what actually works when buying a house today.
Table of Contents
Step 1 to Buy a House: Be Financially Ready
Rachel Cruze starts with the basics: pay off debt, build an emergency fund, and be ready for surprise expenses. Buying a home means taking full responsibility for repairs, maintenance, and every monthly cost that comes with ownership.
She also warns that buying and selling too quickly can lead to losses, so plan to stay put for at least a few years. With 86% of renters saying they can’t afford to buy, getting your finances in shape is the first move that really counts.
Step 2 to Buy a House: Know What You Can Afford
Cruze recommends keeping your total monthly mortgage under 25% of your take-home pay including taxes, insurance, and PMI. That cap helps protect your budget and leaves room for other financial goals.
According to Redfin, buyers now need close to $80,000 in income to afford a typical starter home. The key is to buy within your means, not just what a lender is willing to approve.
Step 2 to Buy a House: Save for a Down Payment
Cruze recommends a 20% down payment to avoid PMI and lower your monthly costs, but says 5–10% is fine for first-time buyers. You’ll also need about 3% of the home’s price for closing costs, plus cash for moving and setup.
If that sounds like a stretch, there are still ways to buy with little or no money down, and they work.
👉 Read how to buy a house with no money down.
Step 4 to Buy a House: Get Preapproved, Not Just Prequalified
Getting preapproved gives you a verified budget and shows sellers you’re a serious buyer. Cruze explains that prequalification isn’t enough, it doesn’t confirm your income, debt, or assets.
In 2025, 40% of mortgage rejections are due to high debt-to-income ratios, making it the top reason buyers get denied.
Check your numbers and clean up your finances before applying to avoid delays or denials.
Step 5 to Buy a House: Work With the Right Real Estate Agent
Cruze recommends hiring a professional agent, someone with full-time experience and a strong track record. A great agent helps you spot deals, avoid bidding traps, and negotiate with confidence.
Look for someone who knows the local market, communicates well, and focuses on your goals, not just closing a sale. Interview more than one agent to make sure you’re getting real value for their commission.
Step 6 to Buy a House: Shop With Strategy
Before you tour homes, make a list of must-haves and deal breakers. Cruze suggests focusing on layout, location, and long-term livability over surface features like paint or fixtures.
Don’t get distracted by cosmetic upgrades, those are the cheapest things to fix. A solid floor plan and a good neighborhood are the factors that hold value over time.
Step 7 to Buy a House: Make a Strong, Clean Offer
Once you find a home that fits your needs and budget, your agent will help you submit a clear and competitive offer. Cruze advises including key terms like contingencies, closing dates, and earnest money in the offer from the start.
Being preapproved and flexible with closing timelines can give your offer a stronger edge. If a bidding war happens, stay grounded, your budget should be the limit.
How to Get The Lowest Mortgage Rate (Even If People Think Rates Are High)
Step 8 to Buy a House: Schedule an Inspection and Appraisal
Cruze emphasizes not skipping the inspection, even in a competitive market. It helps you catch serious problems before closing and gives room to negotiate if issues come up.
Lenders also require an appraisal to verify the home’s market value. If the appraisal comes in low, your agent can help decide whether to adjust the offer or cover the gap.
Step 9 to Buy a House: Finalize Your Mortgage
After your offer is accepted, the lender will start the final review of your loan. Cruze advises keeping your finances stable during this stage, don’t open new accounts, take on debt, or change jobs.
Even small financial changes can affect your debt-to-income ratio and delay or cancel approval. Stay patient and responsive until the loan is officially cleared to close.
Step 10 to Buy a House: Close and Move In
Closing is the last step, where you sign paperwork and pay your final costs including insurance, taxes, and any HOA fees. Cruze recommends reviewing the closing documents in advance so you’re not caught off guard.
Once everything’s signed and funds are transferred, the home is officially yours. Plan ahead for a smooth move-in, and be ready to handle your first few expenses as a homeowner.
Buy Your Next House the Smart Way
Buying a house doesn’t have to be complicated, but it does have to be intentional. The steps laid out by Rachel Cruze are a solid base, especially for first-time buyers who want to avoid expensive mistakes.
Stick to the basics: know your budget, clean up your finances, and make every move with purpose. The right house is the one that fits your life and your wallet.
🙋♂️If you like what you just read, subscribe to the DadisFIRE newsletter and follow DadisFIRE on YouTube. 💪 Also be sure to follow DadisFIRE on MSN💰
