From Budget to Builder: Everything You Should Know Before Buying a New Home

📝 Key Takeaways

• Learn how to set a realistic home-buying budget and stick to it

• Understand the difference between buying new vs custom built homes

• Discover the hidden costs of homeownership that catch many first-time buyers off guard

• Get answers to common questions first-time buyers often forget to ask

• Explore the benefits of energy saving custom built homes

• Why Amarillo, TX is a great place to buy your first home

💸 How Much Home Can I Really Afford?

This is usually the first question—and for good reason. Experts recommend spending no more than 28% of your monthly income on housing. In Amarillo, the median home price is around $230,000, but for new construction or custom builds, you might be looking at $250,000 to $400,000, depending on size, materials, and location.

To be safe, include 10–15% in your budget for things like inspections, closing costs, moving expenses, and future maintenance. A mortgage pre-approval can help you find your financial sweet spot and avoid heartbreak later.

🔍 What’s the Difference Between New Construction and Custom Built Homes?

Many buyers confuse these two. Here's how they differ:

• New homes construction usually refers to homes built in a developer's neighborhood, offering limited floor plans and features. They’re often move-in ready and come with modern finishes.

• Custom built homes, like those offered by B&M Amarillo Homes, are tailored to your lifestyle. You choose the layout, finishes, and energy-saving features that matter to you.

If you value long-term savings, energy-efficient custom homes can reduce utility bills by 20–30%, thanks to better insulation, high-efficiency HVAC systems, and smart appliances.

🏠 Should I Buy or Keep Renting?

Buying your first home is a big leap. If you're unsure about your timeline or still saving, rent-to-own options or rental homes in Amarillo—like those offered by our partner B&M Equities—may give you time to decide without the pressure.

Still, with interest rates in 2025 hovering around 6.5% and rents increasing by 8% year-over-year in Amarillo, it may be more cost-effective to own over the long term.

🔧 What Features Should I Look for in a New Home?

It depends on your lifestyle, but first-time buyers often overlook:

• Energy efficiency: Look for ENERGY STAR-rated windows and appliances

• Storage: Ensure there's enough space for growing families

• Outdoor space: Think about long-term enjoyment and resale value

• Warranty: Most builders offer 1–10 year warranties—ask for details

📍 Why Amarillo, TX?

Amarillo isn’t just affordable—it’s family-friendly, growing, and has a stable job market. The average cost of living is 14% lower than the national average, and with plenty of homes for sale in Amarillo, TX, it’s an ideal market for first-time buyers.

Plus, you’ll benefit from local builders who understand the climate and design homes to withstand Amarillo’s hot summers and cold winters—saving you thousands in long-term maintenance.

💬 Common Questions Answered:

Q: How long does the home-buying process take?
A: Typically 30–60 days once under contract, but allow extra time if you're building.

Q: Can I negotiate with a builder?
A: Yes! Especially on upgrades, appliances, or closing cost assistance.

Q: How much should I save for a down payment?
A: Aim for at least 10–20%, but there are programs with as little as 3.5% down.

Q: Is now a good time to buy?
A: Yes—Amarillo remains one of Texas’s most stable housing markets with strong long-term potential.

🏁 Conclusion: It’s Not Just a House—It’s Your Future

Buying your first home is a milestone filled with questions, fears, and hope. Whether you're browsing homes for sale in Amarillo, TX or ready to design your dream build, the journey is worth it.

At B&M Amarillo Homes, we guide you through every step—from budget to builder—with clarity, honesty, and care. And if you're not ready yet, our rental division at B&M Equities offers flexible options to help you plan ahead without pressure.

Let your new home be a reflection of who you are and the life you're building—not just an address.