reference
glossary.
25 terms
definition
A Closing Disclosure is a five-page document that provides final details about the mortgage loan and all closing costs for a real estate transaction. Lenders must provide this document at least three business days before closing, allowing buyers to review and compare the final terms with their initial Loan Estimate. The form includes the loan amount, interest rate, monthly payment, and itemized closing costs.
examples
- —The buyer carefully reviewed the Closing Disclosure and noticed the interest rate had increased from the original estimate, prompting questions to the lender.
- —The three-day review period for the Closing Disclosure allowed the buyers time to secure additional funds for higher-than-expected closing costs.
- —The real estate attorney explained each line item on the Closing Disclosure to ensure the buyers understood all fees before signing.