Applying for a mortgage

[Takket]

Hi all,

I'm finally thinking of making the plunge into buying a home or condo of my own. I have some questions and I trust DU for some advice......

1. I understand before buying a place, I need to get a pre-approval of a mortgage. Is there an amount I should ask for? Or does the bank tell you how much they are willing to loan you? Like, I have crunched my numbers and I know exactly what I can afford for a monthly payment. Do I present that to them, or just sit back and let them tell me a number?

2. Let's say, and I'm just throwing random numbers out here... I'm pre-approved for $500,000 but I only want a $200,000 place. And I buy one. Is the bank only going to give me the cost of the home or can I ask for a little more on top of that? Basically a loan to pay for closing costs, movers, having an appraisal/inspection done, etc.......... Is doing that even allowed or will the bank expect me to only pay for the house and cover everything else myself?

3. How many places should I get pre-approval from? I was thinking three. One my local bank where I have my checking account, and two of the larger national mortgage lenders.

this is kind of terrifying. any other advice you have is appreciated lol