Mortgage documentsWhat is a Loan Estimate? The 3-page form explained
The Loan Estimate is a three-page federal form a lender must deliver or mail no later than the third business day after it receives your mortgage application. It shows the estimated loan terms, monthly payment, closing costs and cash to close, so you can compare lenders. Later, the Closing Disclosure shows the final numbers to compare against it.
The three pages
1. Page 1 – the loan
Your name, loan term, purpose, product and type, loan amount, monthly principal and interest, the estimated total monthly payment, taxes and insurance not escrowed, estimated closing costs and estimated cash to close; plus rate lock, prepayment penalty and balloon payment.
2. Page 2 – closing cost details
Origination charges (including points), services you cannot shop for, services you can shop for, other costs such as homeowner's insurance and property taxes, lender credits and the cash to close calculation.
3. Page 3 – comparisons and contacts
Loan officer information, the Comparisons section (APR and Total Interest Percentage), the late payment cost, appraisal, assumption and servicing.
When you get it
3 business days after application
The lender must deliver or mail it no later than the third business day after receiving your application.
What counts as an application
Six pieces of information: your name, income, Social Security number (for a credit report), the property address, an estimate of its value and the loan amount you want.
7 business days before closing
The Loan Estimate must be delivered or mailed no later than the seventh business day before closing.
By mail or email
Not given in person, it is considered received 3 business days after it is delivered or mailed.
Comparing Loan Estimates
- Ask several lenders for the same type of loan.
- Compare origination charges and the costs of services you cannot shop for.
- Look at the total – "it's the total that matters" – plus APR and TIP on page 3.
- Check that the loan amount plus your down payment equals the price.
- Keep the latest Loan Estimate to compare with your Closing Disclosure.
Questions about the Loan Estimate
What is a Loan Estimate?
A three-page form from the lender with the estimated terms, monthly payment and closing costs of a mortgage, given early so you can compare offers.
When must the lender give the Loan Estimate?
No later than the third business day after it receives your application.
What information makes a mortgage application?
Your name, income, Social Security number, the property address, an estimate of the property's value and the loan amount sought.
What is the difference between a Loan Estimate and a Closing Disclosure?
The Loan Estimate shows estimates early; the Closing Disclosure shows the final terms at least 3 business days before closing.
Is the Loan Estimate a loan approval?
No – it estimates terms and costs; approval comes later in underwriting.
Next steps
ClosingCode keeps the loan milestones next to the contract deadlines and updates buyers in English or Spanish.
Start free trialSources: Consumer Financial Protection Bureau, Loan Estimate explainer (consumerfinance.gov, read October 24, 2026); 12 CFR 1026.19(e)(1)(iii)–(iv) and 1026.2(a)(3)(ii).
General information, not lending advice. Ask your lender about your own Loan Estimate. ClosingCode is software; it is not a lender, law firm or brokerage.