Start with matching assumptions
Check the property, purpose, loan amount, down payment, loan type, term and rate-lock status. If two estimates use different scenarios or dates, ask the providers to explain how that affects the comparison. A worksheet or advertised rate is not interchangeable with a Loan Estimate.
Read the payment and cash requirement
Review principal and interest, mortgage insurance and escrow estimates. Add taxes, insurance or association charges that are not included. Compare cash to close as well as the monthly payment, and ask which amounts may change.
Separate fees, points and credits
Look at origination charges and services, then understand how points or lender credits change the upfront cost and ongoing rate. Prepaid costs and escrow funding serve different purposes from lender fees. Compare the full proposal instead of one line item.
Check what happens later
Ask whether the rate or payment can change, whether a balloon balance is due, and whether a prepayment penalty applies. Consider your expected holding period. A lower payment may reflect a longer repayment term, not a lower lifetime cost.
Keep a written comparison
Record each assumption and the questions still open. Ask the provider to explain differences before proceeding. Our calculators are planning tools, not a substitute for the actual disclosure or your professional’s explanation.