How to Buy a House in America: Steps, Costs and Rules for Foreign Buyers (2026)

Updated October 2026. Prices and buyer data are from NAR (September 2026 sales; 2025 international report); rates from Freddie Mac (October 22, 2026); tax rules from the IRS, read October 27, 2026.

To buy a house in America, you check your finances, get preapproved for a mortgage (or prove cash), find a home, make an offer, inspect it, and close through a title company or attorney. As of September 2026, the median US existing-home price was $417,500 (NAR), and the 30-year fixed rate averaged 7.32% on October 22, 2026 (Freddie Mac). Foreign nationals can buy too: they bought 78,100 US homes from April 2024 to March 2025.

Jump to: 🏠 How it works · 🪜 Step by step · 💲 Costs · 📍 Buying from abroad · 🤝 Getting help · ❓ FAQ

The US process looks a lot alike from state to state, but the details change: who runs the closing, which taxes apply and what the seller must disclose. Whether you grew up here, just moved here or live abroad, the steps below are the same. The sections after them cover what’s different for newcomers and foreign buyers.

How does buying a house in the US work?

You become the legal owner when the deed is signed and recorded with the county. Most buyers use a mortgage, so the lender has a say in the timeline. Along the way you’ll deal with a lender, a title company or attorney, an inspector, an appraiser and often an agent.

The market isn’t one market. Prices and speed vary a lot by state and city. The National Association of Realtors publishes national figures each month. In September 2026, the median existing-home price was $417,500, up 1.3% in a year, and homes spent a median 33 days on the market. First-time buyers made up 31% of sales, and 27% of sales were all cash.

Rates matter just as much. The Federal Reserve sets short-term policy rates, and mortgage rates move with the wider bond market. Freddie Mac’s survey put the average 30-year fixed rate at 7.32% on October 22, 2026, and the 15-year at 6.68%.

What are the steps to buy a house in the US?

1. Check your finances: credit, income, debts and savings.
2. Set a budget based on a monthly payment you’re comfortable with.
3. Get preapproved by a lender, or gather proof of funds if paying cash.
4. Decide whether to use a buyer’s agent, and sign a written agreement if you do.
5. Search homes and list your must-haves.
6. Make an offer with your price, deposit, contingencies and closing date.
7. Get a home inspection and review the seller’s disclosures.
8. Finish your loan; the lender orders an appraisal.
9. Buy homeowners insurance; the title company checks the title.
10. Review the Closing Disclosure, which must arrive at least three business days before closing.
11. Sign, wire your funds and get the keys once the deed records.

Loan programs differ. Fannie Mae and Freddie Mac back most conventional loans. FHA, VA and USDA loans are government-backed options with their own rules. Our essential roadmap to buying a house goes deeper on each step, and our five steps to buy a home is the short version.

Making a strong offer

Look at recent sales nearby, not just asking prices. Your offer includes the price, an earnest money deposit, your loan type and contingencies for financing, appraisal and inspection. Expect a counteroffer. If you change your mind, contingencies usually let you back out within set deadlines; after that, you may lose your deposit.

How much does it cost to buy a house in America?

Plan for more than the price:

• Down payment: first-time buyers put down a median 10% in NAR’s 2025 Profile; repeat buyers put down 23%.
• Closing costs: lender fees, title insurance, recording fees, prepaid taxes and insurance.
• Ongoing costs: property taxes, insurance, HOA dues, utilities and upkeep.

Here’s a monthly example. With 10% down on a $417,500 home, the loan is $375,750. At 7.32% over 30 years, principal and interest are about $2,581 a month, before taxes and insurance.

Taxes cut both ways. Owners pay property tax every year, set locally. The Internal Revenue Service (IRS) lets some owners deduct mortgage interest and property taxes if they itemize. When you sell a main home later, you may exclude up to $250,000 of gain, or $500,000 for married couples filing jointly, if you meet the ownership and use tests. If you sell with a loan still open, see how to sell your house with a mortgage.

Can foreigners buy property in the United States?

Yes. There’s no federal ban on foreign nationals buying US homes, and many do. NAR’s 2025 international report counted these purchases from April 2024 to March 2025:

What’s different for foreign buyers

• Financing: many buyers pay cash. Some lenders lend to non-citizens, but rules and down payments vary, so ask early.
• State limits: some states restrict certain foreign buyers. Florida bars the People’s Republic of China, its officials and companies, and people domiciled there who aren’t US citizens or permanent residents, from owning most Florida real estate, with a narrow residential exception (Fla. Stat. §692.204).
• Selling later: under FIRPTA, a buyer from a foreign seller generally must withhold 15% of the amount realized for the IRS. There’s an exception when the price is $300,000 or less and the buyer plans to live in the home, and a reduced rate up to $1 million.
• Paperwork: expect ID checks, proof of funds, and often a US tax ID and bank account.

If you’re also weighing homes abroad, our list of top destinations abroad to invest in a second home compares options.

Do you need an agent, and how can you save?

No, it’s not required; it’s your choice. In NAR’s 2025 Profile, 88% of buyers used an agent or broker. An agent finds homes, writes the offer and negotiates. Buying without one means doing that yourself, with a title company or attorney handling the closing. Some states require an attorney at closing; in others a title company does it.

Agent pay is negotiable. For example, a 2.5% buyer-agent fee on a $417,500 home would be $10,437.50. That figure is an example only: commissions are not set by law or NAR rules and are fully negotiable. Sellers choose whether to offer buyer-agent compensation. Since August 17, 2024, such offers can’t be shown on the MLS.

If you’d like to buy a home with beycome, there’s no upfront fee. The buyer program is open to every buyer on homes listed by other agents. Beycome keeps 1% of the price, with a $1,499 minimum, and credits the rest of the buyer-agent commission at closing, with lender approval. On a $400,000 home with 3% offered, that’s $8,000 back. The credit can’t apply where no buyer-agent commission is offered, like most homes sold by owner, or on homes listed by Beycome sellers.

Buying directly from an owner? Our guides on how to confidently buy a FSBO home step by step and what to check when buying a FSBO home cover that path. In Florida and Texas, Beycome Title can handle the closing, with Michigan, Ohio, Illinois and Indiana added starting November 1, 2026.

Beycome has helped 22,000+ homeowners and saved sellers over $225 million. You can see how it stacks up in our competitor comparison.

Frequently asked questions about buying a house in America

Reviewed by Beycome Brokerage Realty LLC, a licensed real estate brokerage. Licenses are listed at beycome.com/faq/how-to/are-you-a-licensed-broker/.