Qualifying & process

Closing disclosure

The final five-page statement of your loan terms and closing costs, which the lender must give you at least three business days before closing.

Sources

What does closing disclosure mean?

The Closing Disclosure is the final accounting of your mortgage, and the law requires you to receive it at least three business days before closing so you can review it. Compare it against your original Loan Estimate: the rate, monthly payment and cash to close should match closely, and the three-day window exists so you can question any surprise before you sign.

The three-day rule

You must receive the Closing Disclosure at least three business days before closing. That window exists so you can compare it with your Loan Estimate and question differences before you sign.

Most changes can be fixed without a new waiting period, but three restart the three-day clock: the APR rises beyond a small tolerance, the loan product changes (for example, fixed to adjustable), or a prepayment penalty is added.

What to check line by line

The loan amount, interest rate, monthly payment and loan term match what you agreed to.

Lender charges did not increase from the Loan Estimate, and third-party fees from the lender’s list rose no more than 10% in total.

Cash to close matches your bank-transfer instructions — and confirm wiring details by phone with your title company to avoid wire fraud.

Prepaid interest, escrow deposits and any seller credits are applied correctly.

Frequently asked

What is the difference between a Loan Estimate and a Closing Disclosure?

The Loan Estimate comes right after you apply and lets you shop; the Closing Disclosure is the final version you receive at least three business days before closing.

Compare them — the rate, payment and cash to close should match closely, and any surprise is worth questioning.