Definition
A five-page standardized form that itemizes all the final details of your mortgage loan, including the exact interest rate, monthly payment, closing costs, and total cost over the life of the loan. Federal law (TILA-RESPA) requires lenders to deliver the Closing Disclosure at least three business days before closing. Compare it carefully to your Loan Estimate to identify any unexpected changes.
Related Mortgage Terms
- Annual Percentage Rate (APR)
The total annual cost of a mortgage expressed as a percentage, including the int...
- Closing Costs
Fees and expenses paid at the finalization of a real estate transaction, typical...
- Loan Estimate
A standardized three-page document that lenders must provide within three busine...
- Amortization
The process of paying off a mortgage through regular monthly payments of princip...
- Appraisal
A professional assessment of a property's market value conducted by a licensed a...
Understanding mortgage terminology helps you compare loan offers and make informed decisions. Use our mortgage calculator to see how these terms affect your monthly payment.