First-time buyer guide

Download the guide (PDF)

1. 1 Budget and pre-approval

   • Look at your full monthly cost: principal and interest, property taxes, insurance, HOA dues and maintenance. Try the payment calculator and the closing cost estimator.
   • Talk with more than one licensed mortgage lender and compare their Loan Estimates (CFPB explains the form). You can verify a loan originator’s Illinois license on IDFPR.
   • Ask lenders about Illinois Housing Development Authority (IHDA) programs; see First-time buyer programs.
   • Get a pre-approval letter before you start touring homes.

2. 2 Choosing a buyer’s broker and the written buyer agreement

   • Since January 1, 2025, the Illinois Real Estate License Act requires a brokerage relationship to be set out in a written brokerage agreement (225 ILCS 454/15-50). For buyers, this is a written buyer representation agreement.
   • The agreement states how much and how your broker is paid, the broker’s duties and how long the agreement lasts. Compensation is not set by law and is negotiable.
   • Under MLS rules that took effect in August 2024, a broker generally must have a written agreement with you before touring a home with you, in person or virtually.
   • You can verify any broker’s license on IDFPR.

3. 3 House hunting

   • Make a list of needs and wants: size, layout, condition, commute and budget.
   • Tour homes and compare each one against your list.
   • Research areas through objective sources such as commute times, property tax bills and local government websites.

4. 4 Offer and earnest money

   • Your offer states the price, financing, contingencies and closing date.
   • Earnest money is a deposit that shows good faith. It is held in escrow as your contract states and is usually credited to you at closing. The amount is negotiable.

5. 5 Attorney review and inspection

   • In the Chicago area, purchase contracts commonly include an attorney review period. Your attorney reviews the contract and may propose changes within the timeframe in your contract.
   • Hire a home inspector licensed in Illinois (verify on IDFPR). Consider radon testing by a licensed radon professional (IEMA-OHS) and a sewer camera inspection.
   • After the inspection, your attorney and I help you decide on any repair or credit requests, within the deadlines in your contract.

6. 6 Appraisal and loan approval

   • Your lender orders the appraisal and reviews your documents.
   • Send requested documents promptly, and avoid new debt, large purchases or job changes before closing.
   • When the lender issues a “clear to close,” final closing documents are prepared.

7. 7 Final walk-through

   • Shortly before closing, walk through the home to confirm its condition, agreed repairs and included items.

8. 8 Closing

   • Your lender must give you a Closing Disclosure at least 3 business days before closing. Compare it with your Loan Estimate.
   • Before wiring any funds, call your title company or attorney at a number from an independent source to verify instructions.

   As an Illinois Notary Public, I can also come to your home to have your closing documents signed, so you can stay focused on packing and organizing your move.

   Keys and access

   • House keys for every exterior door, and any storm door or gate keys.
   • Garage door openers and any garage keypad code.
   • Alarm or security system codes and app access; change all codes after you move in.
   • Mailbox keys.
   • Building fobs, parking passes and amenity keys (condominium or HOA).
   • Consider rekeying the exterior locks after closing.

   Warranties

   • Confirm whether a home warranty is included under your contract, and activate or transfer it into your name.
   • Check which manufacturer or workmanship warranties convey with the property (appliances, heating and cooling, water heater, roof, windows, or a new-construction builder warranty) and register them in your name where required.
   • Get warranty documents, manuals, receipts and contractor contact information from the seller at or before closing.
   • Go through the closing-day checklist.

9. 9 After closing

   • File for the property tax exemptions you qualify for; in Cook County, with the Cook County Assessor’s Office. See Property tax check, senior exemptions and Cook County exemptions.
   • Make sure the property tax bill comes in your name (Cook County Treasurer).
   • Update your address with USPS and, within 10 days, with the Illinois Secretary of State. The moving checklist covers the details.
   • Keep your closing documents, deed and title policy in a safe place.

General information only. Every transaction is different; your attorney and lender advise you on your situation.

Sources (checked October 17, 2026): 225 ILCS 454/15-50 · CFPB, Loan Estimate · CFPB, Closing Disclosure · IDFPR license lookup · IEMA-OHS, radon · Cook County Assessor, exemptions

Anett Y. Wator, Illinois Real Estate Broker, License #475.220814 · At Home Realty Group, Inc. · brokeranettwator@gmail.com