Home Buying

What Is a Loan Estimate?

A Loan Estimate is a standardized three-page form that US mortgage lenders must provide within three business days of receiving a loan application. It shows the estimated interest rate, monthly payment, closing costs, and other key terms, in the same format across lenders so offers can be compared.

How to Use It

Comparing Loan Estimates side by side shows differences in rate, points, lender fees, and cash needed at closing.

Loan Estimate vs. Closing Disclosure

The Closing Disclosure, provided before closing, shows the final terms; comparing the two helps spot changes.

🧮 Calculate It Yourself

Put Loan Estimate into practice with these free calculators — no sign-up, nothing stored.

🏡 Closing Costs Calculator Estimate the one-time costs due when you close on a home purchase. Calculate → ⚖️ Loan Comparison Calculator Compare two loan offers side by side: payment, total interest, fees, and total cost. Calculate →

🔗 Related Terms

Closing Disclosure Closing Costs APR (Annual Percentage Rate) Mortgage Points Underwriting

More Home Buying Terms

📖 Browse all glossary terms or explore all free calculators.

Last updated: September 29, 2026. This definition is for general educational purposes only. It is not financial, investment, tax, legal, or medical advice, and it does not recommend any product or course of action. For decisions about your own situation, consult a qualified professional.