Start with identity and loan terms
- Confirm your name, property address, sale price and loan amount.
- Check the purpose, product, term and loan type.
- Confirm whether the rate is locked and when the lock expires.
- Look for prepayment penalties or balloon payments.
Understand the monthly payment
Principal and interest are only part of the housing payment. Review mortgage insurance, estimated escrow, property taxes, homeowners insurance and any amounts that are not escrowed. An adjustable-rate loan includes additional projected-payment and adjustment information.
Review closing costs and cash to close
Page 2 separates origination charges, services the borrower cannot shop for, services the borrower can shop for, taxes, prepaids, initial escrow and other costs. Lender credits reduce cash due but may be associated with a different rate. Estimated cash to close combines costs with down payment, deposits, credits and financing.
Compare offers consistently
- Use the same loan amount, term, product and lock assumptions.
- Compare lender-controlled origination charges and points.
- Separate required third-party costs from lender pricing.
- Ask why any item differs from what you discussed.
- Do not choose solely from the headline interest rate.
A prepayment penalty can charge you for certain early payoffs. A balloon payment creates a large final payment. An adjustable rate can increase after its initial period. Ask for alternatives if a feature does not fit your plans.
Personal guidance
Want to discuss how this applies to you?
Greg can help you compare current loan options, documentation, costs and timing for your property and financial goals.
This educational summary was prepared from the referenced official material and reviewed on September 13, 2026. Program rules, limits and eligibility can change. Your lender’s current underwriting requirements and official disclosures control.