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Billings First-Time Homebuyers Guide
Everything you need to know from Liz Francis our Billings365 Real Estate Ambassador
Buying your first home can feel like a lot, but it doesn’t have to be. I’m Liz Francis, a Billings native, broker, and real estate agent with over 10 years of experience. I’ve helped hundreds of first-time buyers through the process, and I’m here to help you too.
This guide covers 10 essential “need-to-knows” for buying your first home right here in Billings. From touring homes in our local market to what to expect on closing day. Whether you’re just starting to explore or ready to make a move, these tips will help you feel prepared and confident every step of the way.
Overall Steps to Buying a Home in Billings
- Talk to a lender to get pre-approved and figure out your budget and loan options.
- Connect with a real estate agent you trust and share what you're looking for in a home. An Agent with experience is an extra bonus!
- Start house hunting and tour homes until you find the right one. The fun part!
- Make an offer and submit earnest money once it’s accepted; this kicks off the buying process.
- Schedule a home inspection, solidify insurance, and do your due diligence on the home you will likely the home inspection attend the walkthrough with your agent.
- Negotiate any needed repairs based on inspection results.
- The lender orders an appraisal to confirm the home’s value matches the purchase price or is at a suitable price per your terms.
- Prepare for closing A signing time with be scheduled, you will be switching over utilities into your own name, and planning your move.
- Do a final walk-through to confirm repairs were made and the homes in good condition.
- Close and celebrate! Sign the papers and once it’s recorded you officially own the home.
The Need-to-Knows
1. Common First-Time Buyer Mistakes (and How to Avoid Them)
- Looking at homes before talking to a lender
- Not understanding the liquid funds (cash) needed for the transaction : earnest money, closing costs, inspection fees etc.
- Skipping the home inspection
- Making emotional decisions
- Underestimating ownership costs
- Rushing the process
2. What’s a Starter Home Cost in Billings?
“Starter home” means something different for everyone, but right now the average home price in Billings is around $400,000–$450,000, depending on location and features.
3. Upfront Costs You Should Expect
Along with your down payment, plan for: Earnest money, closing costs, inspection fees, and potential realtor fees.
4. From Walkthrough to Inspection
When touring homes in Billings—especially older ones—it’s important to watch for signs of proper winterization (like plumbing and underground sprinklers) and be aware of materials or systems that might need repair due to age. Once you're under contract, a home inspection is key. Most local inspectors will also recommend a radon test, among others. They will have an inclination as to what other tests may apply to your specific home. Example, the property has a well, septic, or cistern, you may want to schedule those additional inspections, if there’s land involved, a soil test might be needed depending on how you plan to use the property. A good inspector will catch things you may not notice on your own, so this step is well worth it.
5. New Build vs. Fixer-Upper
Fixer-uppers can be more affordable and offer great potential but can come with surprise costs and repairs. New builds are move-in ready with fewer issues but may cost more upfront and may lack a little bit of character if you are into that kind of thing. Both options are great, and this is a totally personal decision!
6. Neighborhood Tips
There’s no one-size-fits-all neighborhood in Billings. The best thing to do is get out and drive around. See what areas are right for you. Think about what matters most: commute time, lot size, proximity to work, schools, or parks.
7. Who You’ll Work With
Besides your real estate agent, expect to work with:
- A Lender
- A Home inspector (and possibly others for specific issues like roofing or sewer lines)
- The Title company
- An Insurance agent
8. What are common contingencies in a contract?
A contingency is a clause in a contract that allows the buyer to back out of the sale without penalty if a specific condition is not met or is not deemed suitable for their purposes of the purchase. You will commonly see an inspection contingency, an insurance contingency, a financing contingent, an appraisal contingency as well as a title contingency. You do not need to implement all of these contingencies; alternatively, you can add others, such as the same of another home. Ask your agent how to best protect yourself in your purchase.
9. What to Expect at Closing
At this point you are almost to the finish line! You will be attending closing with your agent as well as your lender if one was part of the transaction. The escrow agent will be going over documents with you, many signatures will be necessary, but it will all be worthwhile! You will want to be sure to bring funds as well as your identification for this final step! Once the transaction records with the county , you will obtain keys and have a new place to call home!
10. First-Year Budgeting
Aside from your mortgage (which should include taxes and insurance), plan for:
- Monthly utility costs
- Emergency repairs (HVAC, plumbing, appliances)
- Upgrades or projects you’d like to tackle early on.
“Don’t skip steps, and don’t try to go it alone. Talk to your lender upfront about all the costs involved and work with a real estate Broker who has been there to who can help guide you through the process—especially if it’s your first time.”
About Liz Francis
I’m a Billings native, a licensed broker, and I’ve helped hundreds of clients buy their first home right here in our community. I also stay connected after closing—many of my clients have become lifelong friends. I love hosting annual events, catching up over coffee, and being someone, my clients can call anytime.
Want to connect? I’d love to help you start your homebuying journey in Billings.
406-860-2931
Instagram: @lizfrancishomes
Facebook: Liz Francis – Francis & Co
Learn more about me here: https://billings365.com/livinginbillings
