What is typically included in a Loan Estimate?

A Loan Estimate is a standardized form that lenders are required to provide to borrowers within three business days of receiving a loan application. This document is designed to give borrowers a clear understanding of the key terms and costs associated with their mortgage loan.

The correct choice includes estimated payment and interest rate information, which is crucial for borrowers as it helps them understand the financial implications of taking on the loan. The Loan Estimate outlines the estimated monthly payments and the interest rate being offered. This allows borrowers to compare various loan offers and make informed decisions.

While other options refer to various types of documents or assessments, they do not align with what is specifically included in a Loan Estimate. For instance, a final statement of costs and payments is provided at closing rather than during the initial loan process. A pre-qualification assessment is generally an informal evaluation conducted before the formal loan application, and a record of the borrower's income history is typically part of the lender's due diligence during the underwriting process but not included in the Loan Estimate itself.