It's not uncommon to see people sitting at the closing table looking surprised when they see the numbers at the bottom of the documents. They may have only calculated the offer price and down payment, missing the fact that closing costs can range from 2% to 5% of the loan amount. Considering that the median sale price in the Oklahoma City metro area is around $280,000 (Redfin, as of May 2026), this means closing costs can range from $5,600 to $14,000.

If you're preparing to buy your first home, there are four main items to check in order:

• Types of loans and minimum down payments
• Credit score and DTI (debt-to-income ratio)
• Pre-approval status
• Closing costs and local property taxes

Starting with the types of loans, FHA loans require a 3.5% down payment if your credit score is 580 or higher, and a 10% down payment if your score is between 500 and 579 (according to FHA.com). Conventional loans can start at 3% for first-time homebuyers or those earning 80% or less of the area median income, while others typically require around 5%. If the down payment is less than 20%, PMI (private mortgage insurance) is required, and it is waived if the down payment is 20% or more (according to NerdWallet). Additionally, the average interest rate for a 30-year fixed mortgage is around 6.6% (ranging from 6.55% to 6.72%, Freddie Mac PMMS as of July 2026), which serves as a starting point for calculating monthly payments.

The effective property tax rate in Oklahoma averages around 0.82% (according to multiple sources, between 0.79% and 0.87%), which is lower than the national average of 0.91%. However, there can be differences by county, so it's advisable to check based on the property address. In the past, some buyers have set their budgets generously just because property taxes are low, but now it's important to consider insurance premiums and HOA fees to get the full picture.

One way to reduce the burden of a down payment is through the Oklahoma Housing Finance Agency (OHFA) down payment assistance program, which provides 3.5% of the loan amount and applies to 30-year fixed FHA, USDA, VA, and Conventional loans. Applications can be made through over 50 participating financial institutions across the state.

Areas with preferred school districts, like Edmond or Norman, tend to have higher sale prices than the city center, so many buyers weigh school districts against their budgets. While school ratings can be checked on platforms like GreatSchools or Niche, school boundaries change frequently, so it's best to verify the assigned school for the specific address before purchasing.

When looking at closing costs, you'll find a mix of appraisal fees, title insurance, loan origination fees, credit report fees, and recording fees. Lenders are required to send a Loan Estimate within three days of application, so once you receive this document, it's important to compare the itemized amounts between lenders. Property taxes and homeowners insurance are usually included in the escrow account and billed monthly along with principal and interest, so if you only budget for principal and interest, there may be a discrepancy in the actual payment amount. After an offer is accepted, rates can continue to fluctuate until they are locked in, so it's wise to coordinate the rate lock timing with your loan officer in advance.

Getting pre-approved should happen before you start looking at homes, not just before making an offer. By checking your credit score, income, and DTI first, you'll have a much clearer picture of your overall budget, including closing costs. This article is not investment or legal advice, and it's recommended to consult with a loan officer or expert before finalizing any contracts.