Buying your first home in Orange County can feel like a maze of terms, timelines, and tradeoffs. You want a place that fits your budget and your life, with a commute that works and a property that will not surprise you later. This guide gives you a simple path forward, with clear steps, local tips, and the key costs to expect in New York. By the end, you will know how to prepare, what to check, and who to call. Let’s dive in.
How Orange County buying works
Orange County sits in the Hudson Valley with a mix of suburban, exurban, and rural neighborhoods. Commute options, like Metro-North connections and major roads such as I-84 and NY-17/I-86, influence price and demand. Inventory and pricing can vary between towns, so compare options across Monroe, Goshen, Warwick, and Middletown.
Property features differ by area. In more rural parts of Warwick and sections of Goshen, private wells and septic systems are common. In Monroe and Middletown, more homes connect to public utilities. Always confirm utilities with the listing and town clerk.
Flood risk is a factor near streams and rivers. If a home is in a Special Flood Hazard Area, your lender will require flood insurance. Older homes may also raise questions about lead-based paint if built before 1978.
Your step-by-step timeline
Buying here often takes 30 to 60 days from accepted offer to closing, with 45 to 60 days common for conventional loans. Government-backed loans can take longer.
Stage A: Get ready to buy
- Review your credit and correct errors.
- Build your budget, including mortgage, taxes, insurance, utilities, and maintenance.
- Save for down payment and closing costs.
- Get pre-approved by a lender. Be ready to share W-2s, pay stubs, tax returns if self-employed, bank statements, and ID.
- Choose a local buyer’s agent who knows Orange County towns and commuting corridors.
Stage B: Hunt and make offers
- List must-haves vs nice-to-haves, including bedrooms, commute, lot, and school district.
- Tour homes and request disclosures early, especially for lead paint in pre-1978 homes.
- Write an offer that sets price, earnest money deposit, contingencies, timeline, and any seller concessions. Earnest money is often about 1 percent but varies.
Stage C: After acceptance
- In New York, real estate attorneys commonly manage contracts and closings.
- Your lender orders an appraisal and starts underwriting.
- Schedule inspections within your contingency window, often 7 to 10 days.
- Order septic and well inspections if applicable, plus radon, pest, and any specialty checks.
- Negotiate repairs or credits based on inspection results.
- Provide any extra documents your lender requests.
Stage D: Final steps to close
- Get final approval, often called clear to close.
- Do a final walk-through 24 to 48 hours before closing.
- On closing day, sign documents with your attorney, wire funds or bring a certified check, and receive your keys when the deed is recorded.
What it costs to buy in New York
Plan for your down payment plus closing costs. In many New York transactions, buyers should budget roughly 2 to 5 percent of the purchase price for closing costs. Actual amounts vary by lender, loan type, and county fees.
Typical buyer-paid costs
- Lender charges, such as application and origination fees
- Appraisal and credit report fees
- Title search and title insurance
- Attorney, escrow, and settlement fees
- Recording and filing fees
- State and local transfer taxes where applicable
- Prepaid items, such as the first year of homeowners insurance, property tax prorations, and prepaid interest
- Escrow reserves for taxes and insurance, often 2 to 6 months
For a plain-language overview of closing costs, see the Consumer Financial Protection Bureau’s guide on what closing costs include.
Who pays what in NY
Sellers usually pay broker commissions and may pay certain transfer taxes. Buyers typically pay lender fees, title insurance, recording fees, and prepaid insurance and taxes. Always confirm the latest Orange County practice with your lender, title company, and attorney.
To learn about New York State transfer taxes and filings, review the Department of Taxation and Finance guidance. For local recording details, consult the Orange County Clerk.
Simple example budget
Below is a rough, hypothetical example. Always request a Loan Estimate from your lender for precise figures.
- Purchase price: $400,000
- Down payment options: 3 percent to 20 percent depending on loan type
- Estimated closing costs: 2 to 5 percent of price, or about $8,000 to $20,000
- Reserves: set aside funds for moving, immediate repairs, and utility setup
Your lender will break out principal and interest, property taxes, homeowners insurance, mortgage insurance if required, and any HOA dues.
Loans and down payment help
You can choose from several loan programs, each with different down payment and credit requirements.
- Conventional loans: as low as 3 percent down for eligible first-time buyers, with private mortgage insurance below 20 percent down.
- FHA loans: 3.5 percent down for qualified buyers, with mortgage insurance.
- VA loans: for eligible service members and veterans, often with no down payment.
- USDA loans: for eligible rural properties in Orange County, often 0 percent down.
- SONYMA loans: New York State programs designed for first-time buyers, often with competitive rates and down payment assistance. Review program options, limits, and current terms on SONYMA’s official page.
How to compare lenders
- Contact two or three lenders, including a local bank or credit union and a mortgage broker.
- Ask which programs they offer, including SONYMA, FHA, USDA, VA, and low down conventional.
- Request a Loan Estimate for the same scenario to compare apples to apples. The CFPB explains what a Loan Estimate is.
Free counseling and local help
Many assistance programs require a homebuyer education course. You can find HUD-approved counseling through the HUD counseling locator. For county-level information and potential local programs, check the Orange County, NY official website.
Inspections and local checks
A strong inspection plan protects your budget and timeline. Many lenders also require certain tests depending on loan type and property features.
Essential inspections
- General home inspection to assess structure, roof, plumbing, electrical, and HVAC.
- Radon testing, which is common in the Hudson Valley.
- Septic inspection and dye test when applicable, plus a pump-out if recommended.
- Well water testing for bacteria and other common contaminants.
- Pest inspection for wood-destroying insects.
- Chimney, fireplace, roof, or structural engineer reviews if conditions warrant.
For water and septic questions, consult the Orange County Department of Health. For lead safety and disclosure rules on homes built before 1978, review the EPA’s lead resources for real estate.
Flood, insurance, and permits
- Check FEMA maps to see if the property lies in a Special Flood Hazard Area. Start with the FEMA Flood Map Service Center.
- Get insurance quotes early. Premiums vary based on age, systems, roof, and distance to watercourses.
- Verify permits for additions or alterations with the municipality. Unpermitted work can delay closing and insurance.
Quick first-time buyer checklist
- Get pre-approved
- Choose your buyer’s agent
- Budget and save for down payment, closing costs, and reserves
- House hunt and submit offers
- Complete inspections and negotiate repairs or credits
- Finalize your loan and line up homeowners insurance
- Do your final walk-through
- Close with your attorney and get keys
Next steps and local guidance
Success starts with a clear plan, strong pre-approval, and a hyper-local strategy for each town you are considering. Pair that with thorough inspections and early insurance quotes to avoid surprises. If you are comparing Monroe, Goshen, Warwick, or Middletown, a local agent can help you weigh utility types, commute tradeoffs, and property-specific risks before you write an offer.
Ready to start? Reach out to James J Cosenza for a local plan, tailored property alerts, and step-by-step guidance from offer to close.
FAQs
How much should a first-time buyer save in Orange County, NY?
- Plan for your down payment, plus 2 to 5 percent of the purchase price for closing costs, inspection fees, moving expenses, and a reserve for immediate repairs and utilities.
What inspections matter most for Orange County homes?
- A general home inspection, radon test, septic and well testing if applicable, pest inspection, and targeted checks like chimney or structural reviews based on conditions.
Can I get down payment assistance in New York?
- Possibly through SONYMA programs, plus federal loan options like FHA, USDA, and VA, and occasional local resources. Review SONYMA programs and contact a HUD-approved counselor.
How long does it take to close in New York?
- Many contracts close in 30 to 60 days. Allow extra time for government-backed loans, complex underwriting, municipal approvals, or extensive repairs.
Who pays what at closing for Orange County transactions?
- Buyers usually pay lender fees, title insurance, recording fees, and prepaids, while sellers typically pay commissions and may pay certain transfer taxes. Confirm specifics with your attorney and title company.
Where do I check flood zones and insurance needs?
- Use the FEMA Flood Map Service Center to check flood risk and get insurance quotes early to understand premiums and coverage requirements.
