BEFORE YOU SIGN
Interactive loan estimate.
Explore the sample Loan Estimate and its key sections.
Sample Lending Co.
Loan Estimate Sample
Save this Loan Estimate to compare with your Closing Disclosure.
- Date Issued
- 11/2/2026
- Applicants
- Sample Borrowers
- Property
- 123 Example Lane, Anytown, ST 00000
- Sale Price
- $400,000
- Loan Term
- 30 years
- Purpose
- Purchase
- Product
- Fixed Rate
- Loan Type
- Conventional
- Loan ID #
- 000000000
- Rate Lock
- Yes, until 12/17/2026 at 5:00 p.m. EST
Before closing, your interest rate, points, and lender credits can change unless you lock the interest rate. All other estimated closing costs expire on 11/16/2026 at 5:00 p.m. EST.
Loan Terms
| Can this amount increase after closing? | ||
|---|---|---|
| Loan Amount | $360,000 | No |
| Interest Rate | 6.25% | No |
| Monthly Principal & Interest | $2,216.58 | No |
| Does the loan have these features? | ||
| Prepayment Penalty | No | |
| Balloon Payment | No | |
Projected Payments
| Payment Calculation | Years 1-8 | Years 9-30 |
|---|---|---|
| Principal & Interest | $2,216.58 | $2,216.58 |
| Mortgage Insurance | + $150 | – |
| Estimated EscrowAmount can increase over time | + $550 | + $550 |
| Estimated Total Monthly Payment | $2,917 | $2,767 |
| Estimated Taxes, Insurance & Assessments | This estimate includes | In escrow? |
|---|---|---|
| $550 a month | Property Taxes | YES |
| Homeowner's Insurance | YES | |
| Other: |
You must pay for other property costs separately.
Costs at Closing
| Estimated Closing Costs | $11,360 | Includes $6,085 in Loan Costs + $5,275 in Other Costs - $0 in Lender Credits. |
|---|---|---|
| Estimated Cash to Close | $41,360 | Includes closing costs. See Calculating Cash to Close on Page 2. |
What each part means
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The top of the form identifies you, the property, the sale price, and the date the estimate was issued. Check that the names and address are right. When you compare offers, try to get them issued on or near the same day, since rates move daily.
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This is the shape of the loan: how many years you will pay, whether it is a purchase or refinance, whether the rate is fixed or adjustable, and the program (Conventional, FHA, VA, or other). Make sure each estimate you compare describes the same kind of loan.
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A locked rate is protected until the date shown, as long as nothing about your application changes. If the rate is not locked, the rate and some costs can still move. Note the expiration date and plan your closing around it.
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The amount you are borrowing. It should match across offers. If one lender shows a larger amount, ask whether fees or insurance were rolled into the loan.
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The yearly rate charged on what you owe. A lower rate can come with higher upfront costs, such as points in Section A, so always read the rate together with Page 2.
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The part of your payment that repays the loan and covers interest. It does not include taxes, insurance, or mortgage insurance. Those appear in Projected Payments below.
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These two questions tell you whether paying the loan off early costs extra and whether a large lump sum comes due at the end. For most standard home loans, both answers are No. If either says Yes, ask the lender to explain the terms.
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Your estimated total monthly payment over time. When there is mortgage insurance, you will see a column for the years it applies and another for after it ends. Use the total, not just principal and interest, to set your budget.
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Property taxes and homeowner's insurance are usually paid through an escrow account, which adds them to your monthly payment. Lenders estimate these differently, so a low number here is not a real saving. The bill comes either way.
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A snapshot of the total closing costs and the cash you will need on closing day. Page 2 breaks both numbers down line by line.
Compare in this order
- Section A and the interest rate. This is the lender's own price.
- Points or lender credits. These trade cash at closing for a different rate.
- Everything else. These costs come from others and should look alike between lenders, so a big gap is worth a question.
Loan Costs
| A. Origination Charges Lender-controlled | $3,095 |
|---|---|
| 0.5% of Loan Amount (Points) | $1,800 |
| Application Fee | $300 |
| Underwriting Fee | $995 |
| B. Services You Cannot Shop For Not lender-controlled | $715 |
|---|---|
| Appraisal Fee | $550 |
| Credit Report Fee | $65 |
| Flood Determination Fee | $20 |
| Tax Monitoring Fee | $80 |
| C. Services You Can Shop For Not lender-controlled | $2,275 |
|---|---|
| Pest Inspection Fee | $125 |
| Survey Fee | $400 |
| Title - Lender's Title Policy | $1,100 |
| Title - Settlement Agent Fee | $650 |
| D. Total Loan Costs (A + B + C) Total (mix of all three) | $6,085 |
|---|
Other Costs
| E. Taxes and Other Government Fees Not lender-controlled | $150 |
|---|---|
| Recording Fees and Other Taxes | $150 |
| Transfer Taxes | $0 |
| F. Prepaids Not lender-controlled | $2,725 |
|---|---|
| Homeowner's Insurance Premium (12 mo.) | $1,800 |
| Prepaid Interest ($61.64 per day for 15 days @ 6.25%) | $925 |
| Property Taxes (0 mo.) | $0 |
| G. Initial Escrow Payment at Closing Not lender-controlled | $1,500 |
|---|---|
| Homeowner's Insurance $150.00 per month for 2 mo. | $300 |
| Property Taxes $400.00 per month for 3 mo. | $1,200 |
| H. Other Not lender-controlled | $900 |
|---|---|
| Title - Owner's Title Policy (optional) | $900 |
| Home Warranty (optional) | $0 |
| I. Total Other Costs (E + F + G + H) Total (mix of all three) | $5,275 |
|---|
| J. Total Closing Costs Total (mix of all three) | $11,360 |
|---|---|
| D + I | $11,360 |
| Lender Credits | $0 |
| Calculating Cash to Close | |
|---|---|
| Total Closing Costs (J) | $11,360 |
| Closing Costs Financed (Paid from your Loan Amount) | $0 |
| Down Payment / Funds from Borrower | $40,000 |
| Deposit | -$10,000 |
| Funds for Borrower | $0 |
| Seller Credits | $0 |
| Adjustments and Other Credits | $0 |
| Estimated Cash to Close | $41,360 |
What determines this cost?
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What the lender charges to make the loan, including any points you pay to lower the rate. This is the section where lenders differ most, and it is the cleanest way to compare their prices.
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Third-party services the lender picks for you, such as the appraisal and credit report. You cannot choose the provider. Outside of limited cases, such as a change you request or a valid changed circumstance, these fees cannot go up at closing at all. For FHA, VA, and USDA loans, the upfront mortgage insurance premium, funding fee, or guarantee fee also appears here.
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Services such as title work, the survey, and a pest inspection, where you may choose the provider. If you use a company from the lender's written list, these fees, together with recording fees, can rise by no more than 10% in total at closing. If you pick a company that is not on the list, there is no limit, so get quotes before you choose.
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Recording fees and any transfer taxes set by your state or county. They depend on where the property is, not on the lender.
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Costs you pay in advance at closing, such as the first year of homeowner's insurance and interest from your closing date to the end of that month. Closing later in the month means fewer days of prepaid interest.
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A starting balance for your escrow account, so there is enough on hand when the first tax and insurance bills come due. It is your money held for those bills, not a fee.
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Items not required by the lender, such as an owner's title policy or a home warranty. Some are optional. Ask which ones you actually need.
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All loan costs (D) plus all other costs (I), minus any lender credits. A lender credit lowers what you pay at closing, usually in exchange for a higher rate.
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What you bring to closing: total closing costs plus your down payment, minus your earnest money deposit and any seller credits. Wire instructions should come from a verified source. Always call your settlement agent at a known number before sending money.
Comparisons
Use these measures to compare this loan with others.
| In 5 Years | $148,080 | Total you will have paid in principal, interest, mortgage insurance, and loan costs. |
|---|---|---|
| $23,986 | Principal you will have paid off. | |
| Annual Percentage Rate (APR) | 6.683% | Your costs over the loan term expressed as a rate. This is not your interest rate. |
| Total Interest Percentage (TIP) | 121.915% | The total amount of interest you will pay over the loan term as a percentage of your loan amount. |
Other Considerations
| Appraisal | We may order an appraisal to determine the property's value and charge you for it. We will promptly give you a copy of any appraisal, even if your loan does not close. |
|---|---|
| Assumption | If you sell or transfer this property to another person, we will not allow assumption of this loan on its original terms. |
| Homeowner's Insurance | This loan requires homeowner's insurance on the property, which you may obtain from a company of your choice. |
| Late Payment | If your payment is more than 15 days late, we will charge a late fee of 5% of the monthly principal and interest payment. |
| Refinance | Refinancing this loan will depend on your future financial situation, the property value, and market conditions. You may not be able to refinance this loan. |
| Servicing | We intend to transfer servicing of your loan. |
Additional Information About This Loan
- Lender
- MortgageStar, LLC
- NMLS ID
- 18833025
- Loan Officer
- Jacob Cunningham
- NMLS ID
- 1766198
- jcunningham@mortgagestar.com
- Phone
- (540) 597-9074
By signing, you are only confirming that you have received this form. You do not have to accept this loan because you have signed or received this form.
Applicant SignatureDate
Comparing and planning ahead
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Most people sell or refinance within a few years, so this box shows what the loan costs over the first five: every payment of principal, interest, and mortgage insurance plus your loan costs, and how much of the balance you will have paid down. It is one of the best single numbers for comparing offers.
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The APR spreads certain upfront costs, such as points, lender fees, prepaid interest, and mortgage insurance, across the life of the loan and expresses the result as a yearly rate. Some fees, such as the appraisal, credit report, and title charges, are left out by federal rules. The APR is usually higher than the interest rate. A big gap between the two means more of the cost is paid up front.
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The total interest you would pay if you kept the loan for the full term and made every payment on schedule, including the prepaid interest paid at closing, shown as a percentage of the loan amount. Lower is better. Paying extra principal brings your actual number down.
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An appraisal estimates the home's value for the lender. You are entitled to a free copy at least three business days before closing, even if the loan does not go through.
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This says whether a future buyer could take over the loan on its original terms. Assumable loans are uncommon outside FHA, VA, and USDA programs, but they can be valuable if rates rise.
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The lender requires insurance on the home, but you choose the company. Shopping for coverage can lower both your cash to close and your monthly escrow payment.
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How many days you have after the due date before a late fee applies, and how large it is. Setting up automatic payments is the easiest way to avoid it.
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A reminder that refinancing later depends on your finances, the home's value, and market rates at that time. Do not count on a future refinance to make a payment affordable.
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The servicer is the company you send payments to. Many loans are transferred to a new servicer after closing. Your terms stay the same, and you will get notice before any change.
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The lender and loan officer are listed with their NMLS license numbers, which you can look up on the NMLS Consumer Access website. Signing the Loan Estimate only confirms that you received it. It does not commit you to the loan.
Sample for education only. The figures are made up and are not an offer or a rate quote.
This is a simplified sample for education only. The figures are made up and are not an offer, a quote, or a commitment to lend. Your actual Loan Estimate will reflect your own loan, property, and location.
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