How long does it take to buy a house?

In a nutshell

Once you're under contract, closing on a house takes about 42 days, but buyer financing issues, low appraisals and other setbacks can slow down the process.

• Mortgage underwriting is usually the most time-consuming step in the closing process.
• Having your finances in order, getting mortgage preapproval and responding quickly to lender requests can speed up the process.

What should you look for when buying a house?

For most people, a house represents the largest single investment they'll ever make. Knowing what to look for can mean the difference between finding your dream home or making a mistake.

Here are some things to consider when buying a home:

• Price: Buying more house than you can comfortably afford could set you up for years or decades of financial struggles. Get preapproved for a mortgage and stick to — or stay below — your budget.
• Location: You can renovate or redecorate any home, but you can't change its location. Decide which features are most important to you, such as safety, schools, employment opportunities, public transportation and access to recreation.
• Home type: Your real estate search might include single-family homes, townhouses and condos. Consider which option makes the most sense for your budget and lifestyle.
• Home size and floor plan: Decide whether the home's square footage, layout, number of bedrooms and bathrooms, storage options and outdoor space meet your needs.
• Home condition: A house can be a fixer-upper, turnkey property or somewhere in between. Be sure you'll have the time, energy and cash to make any needed repairs or renovations.

How long does it take to buy a house?

The homebuying process involves many moving parts, so timelines vary. You might get lucky and find your dream home quickly, or it could take months of shopping, negotiating and due diligence. Still, data from ICE Mortgage Technology shows the average time to close is 42 days once you're under contract.

You can speed up the process by making a cash offer or, if you need a mortgage, having your finances in order, getting a mortgage preapproval and responding quickly to your lender's requests for documentation.

Check out the Consumer Financial Protection Bureau's first-time homebuyer guide for answers to questions like what is a conventional mortgage, how to choose a mortgage lender and more.

Five steps to buy a house

The path to homeownership looks different for everyone. Still, here are the general steps to follow, along with estimates for how long each step might take.

Step 1: Get your finances in order (time varies)

If you need a mortgage, getting your finances in order is a must. This step might include:

• Saving for a down payment.
• Budgeting for the upfront and ongoing costs of homeownership.
• Checking your credit report and credit score.
• Building your credit and improving your score.
• Organizing the documents you'll need for a mortgage.

Step 2: Get preapproved and compare loan offers (one to two weeks)

Mortgage preapproval is when your lender conditionally offers you a mortgage with a specific loan amount, interest rate and monthly payment. Knowing how much house you can afford helps you shop in your price range. And, with a mortgage preapproval letter in hand, you'll demonstrate to real estate agents and sellers that you're a serious buyer who can obtain financing.

Getting preapproved with multiple lenders lets you compare loan offers to find the best interest rate and terms. Remember that preapproval counts as a hard inquiry on your credit report, which can lower your score. However, if made over a short period (typically 45 days), various applications for a single loan count as one inquiry.

Mortgage preapproval is an in-depth assessment of your homebuying budget, and your lender will pull your credit report and verify your employment status, income, assets and debts. Mortgage prequalification is only a rough estimate of your borrowing limit based on the information you provide to your lender.

Step 3: Shop for a home (10 weeks, on average)

Once you're preapproved for a mortgage and know how much house you can afford, you can start searching for a home. According to the National Association of Realtors, this step in the homebuying process generally takes the longest—an average of 10 weeks. Consider working with a real estate agent to fast-track your home search and find homes that fit your budget and wish list.

Step 4: Make an offer and negotiate (up to a week)

After you find the right home, your real estate agent will help you submit offers and negotiate with sellers. Attach your mortgage preapproval letter if you're financing the home. Otherwise, include a proof of funds letter if you make a cash offer. The seller might counter your offer with a higher price or different terms, and your agent will help you navigate a response.

Step 5: Underwriting and closing (30 to 60 days)

When the seller accepts your offer and the purchase agreement is signed, the next step is to complete the mortgage application process. This step typically includes the following action items:

• A home appraisal: The lender usually orders an appraisal to confirm the home's value. If the appraisal comes in lower than expected, you'll have to negotiate a lower price with the seller, make a larger down payment or search for another home.
• A home inspection: While not required, it's a good idea to get one to uncover any problems with the home’s condition that might involve costly repairs.
• A title search: The title search examines public records to confirm the seller is the property's legal owner with the right to transfer ownership to you. It also uncovers any claims, liens, easements or restrictive covenants that could affect your purchase.
• Underwriting: Your lender will confirm your loan eligibility by verifying your income, assets, debts, employment and credit history. During this stage, avoid opening new lines of credit, changing jobs, making large purchases or doing anything else that could negatively impact your financial situation and credit score.
• Closing disclosures: Once you're cleared to close, your lender must provide a Closing Disclosure at least three business days before your scheduled closing date. The disclosure includes details about the loan term, amount, interest rate, monthly payment, closing costs and cash needed to close.
• Final walkthrough: You'll do a final walkthrough of the property the day before closing to ensure the previous owners have moved out and made any agreed-upon repairs.
• Closing: Closing is the final step in the homebuying process. You'll sign several legal documents and present your ID and proof of homeowners insurance. You'll also pay the down payment and other closing costs, usually with a wire transfer or cashier’s check. The closing agent will provide instructions on how to pay these costs ahead of time.

Tips to avoid delays when buying a house

Financing issues, title problems, low appraisals, final walkthrough surprises and other setbacks can delay or even derail the mortgage closing process. While some delays are out of your control, help keep your closing on track by following a few tips:

• Get preapproved for your mortgage before looking at homes and stick to your budget.
• Pay your bills on time and avoid opening (or closing) new credit, changing jobs or making large purchases or big bank deposits.
• Respond as quickly as possible to lender requests for documentation.
• Schedule the home inspection and appraisal as early as possible.
• Communicate regularly with the seller to ensure repairs are completed on time.
• Arrive at the closing table with your ID, proof of homeowners insurance and cash to close.

The AP Buyline roundup

Homebuying is a lengthy process that can be complicated and stressful. The better prepared you are to navigate each step, the smoother the process will go—and the sooner you can move into your new home.

Frequently asked questions (FAQs)

How long before buying a house should I start looking?

The ideal timeline for house hunting depends on the real estate market, what you're looking for in a home and other factors. Still, starting the search about five or six months before moving in should give most buyers enough time to get preapproved, find a home and close.

How fast can I get a mortgage?

It takes about 30 days to get a mortgage in a normal market — or 45 to 60 days during high-volume months — depending on the lender. Financial issues, such as a low credit score, high debt load or a previous foreclosure, can delay the loan approval process in any market.

What is the longest part of the homebuying process?

Finding the right home is often the most time-consuming part of buying a home. This can be especially true in hot real estate markets where there’s more buyer demand than inventory for sale or if you're competing against other buyers, including those making cash offers. Once you're under contract, mortgage underwriting typically takes the next largest chunk of time.

How long does it take to get approved for a mortgage?

The average time to close a mortgage once you're under contract is 42 days. The exact timeline depends on how busy your lender is, local market conditions, your financial situation, how quickly you respond to lender requests for documentation, the availability of home inspectors and appraisers and other factors.