Buyer guide
What to compare on two Loan Estimates
Two quotes are most useful when they describe the same borrowing scenario. Start with matching terms, then ask about differences.
Compare like terms
Check the loan amount, loan type, term, down payment and whether the rate is locked. Note the date of each estimate: market conditions can change. A lower quoted rate may involve points or a different loan structure, so ask what you are paying for.
Look beyond principal and interest
Compare the estimated total monthly payment, including mortgage insurance and estimated escrow where shown. Check whether taxes and insurance are included or paid separately. Ask which estimates could change and why.
Review cash to close
Compare estimated closing costs and estimated cash to close, not only the interest rate. Ask the lender to explain lender credits, points, prepaid items and services you can shop for. A credit may change another part of the offer.
Ask for an explanation, not a guess
Use the CFPB’s Loan Estimate explainer alongside your actual documents. Ask each lender to identify the meaningful differences and explain assumptions in writing. Keep personal financial documents between you and the professionals who need them; this website does not review loan documents.
Further reading
General education, not personal financial, legal or tax advice. Bring situation-specific questions to an appropriate professional.