A form required by the Real Estate Settlement and Procedures Act (RESPA) that discloses an estimate of the amount or range of charges, for specific settlement services the borrower is likely to incur in connection with the mortgage transaction.
An estimated breakdown of the costs of a mortgage loan. The Real Estate Settlement Procedures Act (RESPA) requires your mortgage lender to give you a good faith estimate of all your closing costs within 3 business days of submitting your application for a loan, whether you are purchasing or refinancing a home. The actual expenses at closing may be somewhat different from the good faith estimate.
An estimate of all closing fees including pre-paid and escrow items as well as lender charges; must be given to the borrower within three days after submission of a loan application.
The estimate on closing costs and monthly mortgage payments provided by a lender to the homebuyer within 3 days of applying for a loan.
- Browse Related Terms: assets, Closing, Closing (or settlement) costs, Closing Agent, Closing Costs, Closing Statement, Consideration, Escrow, Good faith estimate, HUD1 Statement, No Cost Loan, Punch List, Real Estate Settlement Procedures Act (RESPA), RESPA, Settlement, Settlement Statement, Uniform Settlement Statement
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