uying a home can be an intimidating process. Some people stay renters just to avoid the hassle. But, even first-time buyers can feel like pros by following these step-by-step insider tips.

Before you "officially" start to look for a house:

Now, let's go through the various steps in finding your home and actually buying it.

Now it's time to start your search. Read the real estate section of the newspapers in your area. Attend the open houses that are advertised. Pick up those free for-sale booklets, published by real estate services, at supermarkets and restaurants. Cruise the World Wide Web; it has become a rich source of listings for practically every area in the country.

More homeowners complain of having bought too little house than of having bought too much. In the long run, staying put, even if you must remodel, is far cheaper than moving. So, set your sights on a home that's within a reasonable commuting distance, has schools you would like your child to attend and is big enough to meet your long-range needs, or at least expandable for growing needs.

This means you'll need to stretch your budget. This is particularly true for first-time buyers who tend to have growing families and are not at the top of their earnings cycle.

With mortgage-loan interest rates hovering around 7 percent in 1998, you can probably qualify for about three times your yearly income. Add as much down payment as you can muster to bring the total sum up to your realistic maximum. Then see how you can add a little more. Often a $5,000 to $10,000 price difference can buy you a better neighborhood or a vastly more desirable property.

Armed with a specific description of your dream house and your top purchase price, start with a large reputable brokerage firm. Brokers are agents for the seller. Don't disclose your top price to them, and make sure that you never sign an agreement without the right to inspect the property and get out of the deal if it's not for you.

You're free to work with as many brokers as you choose. No matter how much time they spend with you, a broker is not entitled to compensation unless you buy the house he or she helped you find. Explore the use of "buyer's brokers" who will act as your agent. While you're working with a broker, keep reading the newspaper. If there is something you like, call the number listed, or tell your broker about it. Most properties are "multiple listed," and your broker will be able to show you the place. Caveat: If a broker wants to show you a home you already saw, refuse. You could end up in the middle of a commission fight between two professionals.

If you feel up to it, ring the bell of homes that sport "for sale" signs, and answer advertisements of owners selling on their own ("fisbo," or for sale by owner). You could get a price that's lower by at least the 6 percent commission a seller would have to pay a broker.

Once you find what you want, start to negotiate. A 15 percent reduction is the norm in most markets. Negotiation admittedly takes know-how. Don't rely on the broker to negotiate for you. She is not your agent and may not be a skilled negotiator, especially since the size of the commission rises with price. It's your money and you're the best negotiator.

Get a copy of your broker's "property sold" book before you make an offer. All brokers have one. It tells the actual selling price, the original listing price and the amount of time it took a house to sell. This is the best guide for determining an offer and negotiating strategy.

When a price is offered, in many states you'll put up a small deposit that's never cashed. This is called a binder. Don't be afraid: If a final contract is not signed, the money is returned.

Once your offer is accepted, hire a real estate lawyer. He or she will work with the seller's lawyer to arrive at a written contract. Some states don't require a lawyer, but that puts a much higher burden on you as the buyer to ensure that you're receiving a clear title and there are no last-minute surprises. Be prepared to put 10 percent of the purchase price down simultaneously with signing the contract. Get the amount ready in your checking account.

Some savvy buyers even inspect before they place a bid. This requires a cash outlay of $300 to $600, but may give you a bargaining chip. For referrals, visit the Web site of the National Association of Home Inspectors.

Even if you've already signed an agreement, you can renegotiate the price if the inspection turns up damages, or you may get out of the contract altogether. If the inspection is good, and made prior to a bid, offer an "as is" price. This takes a burden off the seller and makes your offer more attractive than higher offers with inspection contingencies.

You might want to pre-qualify for a mortgage, even before you look. If not, see at least three lenders while you're looking. Most first-time homebuyers don't put 20 percent down. They haven't had the time to save tens of thousands of dollars and they don't have any equity built up from a prior home. If that's you, don't give up.

In several lending institutions offer special programs geared toward low down payments, especially if you're a first-time buyer. For example, the Federal Home Administration offers a program for as little as 3 percent down.

However, the purchase price cap of an FHA-approved mortgage may not buy your dream home. Several mortgage companies and builders offer programs for as little as 5 percent down. Some builders even have programs that offer 100 percent financing, but they usually come with strings and extra fees.

Consider offering a traditional lender a pledge of other assets, such as business, personal, checking or savings accounts. Or look at alternative avenues for borrowing, such as broker's loans against securities. Developers and builders will sometimes arrange low down payment loans or no-cash financing on the first or last unsold home in a subdivision. You may be able to "piggy back" a second mortgage, usually at a higher rate but for a fewer number of years.

If you finance more than 80 percent, you'll probably have to pay private mortgage insurance, or PMI. Piggybacks are an increasingly popular way to avoid this expense. The second loan, which is also called an "80-10-10," piggy backs on your first conventional mortgage and covers the other 10 percent needed to reach the 80 percent threshold to avoid PMI.

A closing is sort of a check-writing party in which you're both the guest of honor and the host. You'll get a document that shows all the closing costs, fees and a final price that is then filed with the federal government. Your attorney will make sure that the pro rata calculations are correct and that the checks are cut properly.

If you're in a state that doesn't require an attorney's involvement, make sure you've figured out your share in advance of the closing. For instance, property taxes are calculated on a proportional system, based on how many months you own the property, compared with the previous owner. At closing, you'll receive a deed with good title to the property. You'll also get title insurance from the title company you choose. It's a nerve-wracking, heady experience, but millions of people have endured it and are happier for it.