The Loan Estimate form is generally "binding" — meaning lenders have careful guidelines about meeting the estimates. Revisions of a Loan Estimate are only permitted under defined changes of circumstances. These circumstances include: Extraordinary events that are beyond the control of the borrower or lender Changes or inaccuracies uncovered in the information used by the lender in preparing the Loan Estimate New information identified on the borrower or the transaction Other circumstances that might apply are: Interest rates were NOT locked, and applicable new rates change points or lender credits Settlement delay on new construction loans — typically a 60-day window Borrower requests loan term revisions Borrower waits more than 10 days after the Loan Estimate before deciding to proceed with the loan. If these circumstances affect borrower eligibility or the value of the loan security (such as the property), or increase settlement charges beyond legal tolerance limits, a revised Loan Estimate may be issued.

Final mortgage costs may differ from the loan estimate, but the differences are defined by legal tolerances for some cost categories. For items limited to 10% change tolerance — recording-services charges and non-shoppable 3rd-party services — amounts paid over the Loan Estimate for these categories must be refunded. For all other items, including the services which a borrower is allowed to shop, differences between payment and closing, and Loan Estimate, are not refundable. The lender must arrange refunds within 60 calendar days (NOT business days) of loan consummation.

A mortgage Loan Estimate is just that — an estimate. Your actual loan costs might be higher or lower than the estimate, within certain legally-specified limits for some items, and without defined limits for others. Items with a 10% change limit include: Charges for recording services 3rd-party services on the list provided by the lender Items which might change without legally-defined tolerances: Prepaid Interest Property Insurance Premiums Escrow or Reserve Deposits Items with ZERO tolerance, that should not change: Transfer taxes Fees paid to the lender Fees paid to a mortgage broker, or to affiliates of the lender or the broker. Fees paid to any 3rd parties on the "CAN NOT SHOP" list provided on the Loan Estimate. Compare the Loan Estimate and the Closing Disclosure before loan consummation.