Loan Estimate in Crown Point: How to Compare Mortgage Offers Side by Side

A Loan Estimate in Crown Point is the three-page form every lender uses to show your estimated rate, monthly payment, and closing costs, so you can compare mortgage offers side by side. The CFPB says the lender must send it within three business days of getting your application, and all lenders are required to use the same standard form. At our Crown Point shop we ask buyers to bring their Loan Estimates in, and we read them together before anyone picks a lender.

We’re the shop on South Main in Crown Point. Love Thy Neighbor. Call Pam at (219) 801-0432 or Sash at (219) 808-1520.

Holding two Loan Estimates and not sure which is the better deal? Call Pam at (219) 801-0432 or Sash at (219) 808-1520 and we will go line by line with you. Curious what nearby homes sold for? Search homes for sale. You can see homes for sale and sold homes across Indiana and Illinois there.

This is how our shop helps buyers read a Loan Estimate in Crown Point and the rest of Northwest Indiana and Chicagoland, plus what the CFPB publishes. Start the buyer path on Buy. More buying guides are in our buying guides. Short questions go to Ask Realest.

What a Loan Estimate shows

The CFPB answer on what a Loan Estimate is says the form shows the estimated interest rate, monthly payment, and total closing costs. It also shows estimated taxes and insurance, how the rate and payments may change later, and special features like a prepayment penalty or negative amortization.

A Loan Estimate is not an approval. The CFPB says that when you get one, the lender has not yet approved or denied your application. It shows the terms the lender expects to offer if you move forward.

For how a lender sizes you up first, read how we handle mortgage pre-approval in Crown Point and our guide to mortgage types in Northwest Indiana. Our financing guide has the rest.

What it takes to get one

The CFPB answer on what you give a lender lists six pieces of information. Once a lender has them, it must send a Loan Estimate:

1. Your name.

2. Your income.

3. Your Social Security number, so the lender can pull a credit report.

4. The property address.

5. An estimate of the property value.

6. The loan amount you want.

The CFPB says lenders cannot require more than that, and you do not need a signed purchase contract to apply and receive a Loan Estimate. Sharing more about your finances can make the estimate more accurate.

Want a second set of eyes before you choose a lender? Call Pam at (219) 801-0432 or Sash at (219) 808-1520. We answer the phone on South Main. Or look around first: Search homes for sale.

How to compare Loan Estimates side by side

The CFPB Loan Estimate explainer says to request Loan Estimates from different lenders so you can compare. Here is the order we read them in:

1. The basics. Check your name, the loan term, purpose, product, and loan type. If you are buying, the loan amount plus your down payment should equal the sale price. If it does not, ask why.

2. Rate and payment. Compare the rate, the monthly principal and interest, and the estimated total monthly payment with taxes, insurance, and any mortgage insurance. The CFPB notes some lenders lock the rate as part of the Loan Estimate and some do not. Real Estate USA explains how a mortgage rate lock works.

3. Origination charges. The CFPB says these are upfront fees from the lender and that it’s the total that matters, since some lenders itemize more than others.

4. Services you cannot shop for. The lender picks these providers, so compare the overall cost of this section across lenders.

5. Services you can shop for. The lender requires these, but you can shop them separately. The lender should give you a list of approved providers.

6. Cash to close. Make sure you have enough on hand for the estimated cash to close. The CFPB says you will need to show your lender where those funds came from.

7. Comparisons on page 3. Check In 5 Years, the Annual Percentage Rate (APR), and the Total Interest Percentage (TIP). The CFPB says these help you compare the cost of offers from different lenders.

8. Risky features. The CFPB calls a prepayment penalty and a balloon payment risky features. If one shows up, ask the lender about other options.

For more on the costs, see our buyer closing costs answer and down payment answer, plus Real Estate USA’s what PMI is.

The 10 business day window

The CFPB answer on intent to proceed says a lender only has to honor the Loan Estimate terms for 10 business days. Tell the lender you intend to proceed within that time. If you wait longer, the lender can revise the terms and costs and send a new Loan Estimate. The lender cannot assume silence means you want to move forward.

Near closing, the Loan Estimate gets a partner form. Real Estate USA explains what a Closing Disclosure is, and our offer to closing guide shows where it lands on the calendar.

How our shop helps

1. Bring them in. We ask buyers to bring every Loan Estimate they have, printed or on a phone.

2. Same order every time. We read them in the order above, so the numbers line up.

3. Questions for the lender. We write down anything that looks off so you can ask the lender why.

4. Dates on the calendar. We note the 10 business day window and your offer deadlines together.

5. Your call. You choose the lender. We do not steer you to one.

Buying a home by town

A Loan Estimate looks the same from every lender in every town. Taxes, insurance, and prices do not. Our shop is on South Main in Crown Point, and buyers come to us from across Northwest Indiana and Chicagoland, including Crown Point, St. John, Schererville, Dyer, Munster, Highland, Cedar Lake, Lowell, Merrillville, Hobart, and Valparaiso.

For what living there is like, Real Estate USA keeps guides to homes in Crown Point, St. John, Schererville, Dyer, Munster, Highland, Cedar Lake, Lowell, Merrillville, Hobart, and Valparaiso. It also has What is a Closing Disclosure, What is a mortgage rate lock, What is PMI, and Moving to Crown Point, Indiana.

What we will ask you back

Expect questions about how many lenders you asked, when each Loan Estimate arrived, whether any rate is locked, your down payment, and your target closing date. Ready to talk? Use our contact page or call Pam at (219) 801-0432 or Sash at (219) 808-1520.

Questions about a Loan Estimate in Crown Point

What is a Loan Estimate when I buy a home in Crown Point?

It is a three-page form a lender gives you after you apply for a mortgage. The CFPB says it shows the estimated interest rate, monthly payment, and total closing costs, and all lenders use the same form so you can compare them. Call Pam at (219) 801-0432 or Sash at (219) 808-1520 and we will read yours with you.

When do I get a Loan Estimate?

The CFPB says a lender must provide it within three business days of receiving your application. An application for this purpose is six pieces of information: your name, income, Social Security number, the property address, an estimate of the property value, and the loan amount you want.

Do I need a signed purchase agreement to get a Loan Estimate?

No. The CFPB says you do not need a signed purchase contract to apply for a mortgage and receive a Loan Estimate. Lenders cannot require more than the six pieces of information, though sharing more can make the estimate more accurate.

How do I compare Loan Estimates from different lenders?

The CFPB suggests asking three or more lenders and comparing the forms line by line. Look at the loan amount, rate, monthly payment, origination charges in total, services you cannot shop for, services you can shop for, the estimated cash to close, and the page 3 Comparisons (In 5 Years, APR, and Total Interest Percentage). Watch for a prepayment penalty or balloon payment.

How long is a Loan Estimate good for?

The CFPB says a lender only has to honor the terms for 10 business days. Tell the lender you intend to proceed within that time, or the lender can revise the terms and costs. The lender cannot treat silence as a yes.

How do I start buying a home with Realest?

Call Pam at (219) 801-0432 or Sash at (219) 808-1520, or email saso@realest.com. Visit us at 112 S. Main St., Suite B, Crown Point, IN 46307. Bring your Loan Estimates and we will go over them with you before you pick a lender. Love Thy Neighbor.

Talk to the shop

Realest, 112 S. Main St., Suite B, Crown Point, IN 46307

Call Pam at (219) 801-0432 or Sash at (219) 808-1520 or email saso@realest.com.

Love Thy Neighbor

Keep reading with Buy, our buying guides, Mortgage pre-approval guide, Financing guide, Offer to closing, and the Crown Point hub. For homes for sale and sold homes in Indiana and Illinois, try Search homes for sale.

Sources

• Consumer Financial Protection Bureau, What is a Loan Estimate: three-page form, three business days, standard form for all lenders, not an approval
• Consumer Financial Protection Bureau, Loan Estimate explainer: what to check and compare, origination charges, services you can and cannot shop for, cash to close, risky features
• Consumer Financial Protection Bureau, What you give a lender to receive a Loan Estimate (six pieces of information)
• Consumer Financial Protection Bureau, No signed purchase contract needed to receive a Loan Estimate
• Consumer Financial Protection Bureau, Intent to proceed and the 10 business day window
• Consumer Financial Protection Bureau, Compare and negotiate your loan offers: page 3 Comparisons (In 5 Years, APR, Total Interest Percentage)

This page is shop process, not legal, tax, or lending advice. Your lender and your Loan Estimate have the final word on your loan terms.