What is a Closing Disclosure and how do I read it?

The Closing Disclosure is a five page government-required form that lays out the final details of your mortgage: the loan amount, the interest rate, the monthly payment, and every cost you will pay at closing.

It is meant to make the closing transparent, so there are no surprises in the final numbers.

Your lender must give you the Closing Disclosure at least three business days before your closing date. That window exists so you have time to review it carefully.

If a significant cost changes, you may receive a new disclosure, and the three day window can restart.

The first page shows your loan terms, including the amount, rate, and whether your payment can change. The projected payment section breaks down principal, interest, taxes, and insurance.

Later pages itemize the closing costs, the cash you bring to close, and a comparison of your loan and closing cost totals.

Check your name, the property address, the loan amount, and the interest rate first. Then confirm the monthly payment and the cash to close match what you expected.

Scan the itemized costs for anything you do not recognize, and ask about any line you do not understand.

The Loan Estimate you received early in the process is the baseline, and the Closing Disclosure is the final version. Comparing the two shows you exactly where fees changed and why.

A few fees are allowed to change, while others must stay the same, and your agent or lender can explain any differences.

I review the Closing Disclosure line by line with every buyer before the signing. It is your last chance to catch a mistake, and I make sure you understand every number on the page.

If something looks off, we flag it before you sign rather than after.