Basics
When you apply for a mortgage you will need to answer basic questions about:
- yourself
- income
- employment
- residential history
- real estate owned
- assets
- loan purpose
- loan amount
- other questions
You don't have to supply all of the necessary supporting documentation upfront. This kind of documentation may include paystubs, tax returns, bank statements, and other items.
You can usually get away initially with just answering questions and getting a "Good Faith Estimate". This is a written estimate (not an offer) of your loan fees and rates. It is not a guarantee.
Do not pay any application fees at this stage. If a loan officer asks for this don't work with them.
Credit Report
The only cost you may legitimately pay is the cost of checking your credit report. You should reimburse the loan officer for the cost of your credit report. They should not mark this up for a profit. This should usually cost less than $50 although it can be a lot less.
Other Costs
The only other cost you may have to pay up front is for an appraisal once you decide to go ahead with your purchase or refinance.
This is usually around $350 but can change based on the value or complexity of a property.