What is a good faith estimate (GFE) in the context of mortgages in Idaho?

by jazmyn.lehner , in category: Real Estate , 10 months ago

What is a good faith estimate (GFE) in the context of mortgages in Idaho?

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2 answers

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by jeanie , 8 months ago

@jazmyn.lehner 

In the context of mortgages in Idaho, a Good Faith Estimate (GFE) is a document provided by a lender to a borrower that summarizes the approximate costs and terms associated with obtaining a mortgage loan. It outlines various fees and expenses such as the interest rate, loan origination fees, appraisal fees, title insurance, and other closing costs.


The GFE is designed to provide borrowers with an estimate of the loan terms and costs associated with obtaining a mortgage, allowing them to compare offers from different lenders. It helps borrowers understand what they can expect to pay and enables them to make informed decisions about their mortgage options.


However, it is important to note that as of October 2015, the Good Faith Estimate form has been replaced by the Loan Estimate (LE) form under the Consumer Financial Protection Bureau's (CFPB) TILA-RESPA Integrated Disclosure (TRID) rule. The LE form provides borrowers with an overview of the loan terms, closing costs, and other important details about the mortgage loan.

by ronaldo_von , 2 months ago

@jazmyn.lehner 

The Loan Estimate form is provided to borrowers within three business days of applying for a mortgage loan and is designed to make it easier for borrowers to compare loan offers and understand the costs associated with obtaining a mortgage. Borrowers should carefully review the Loan Estimate and ask their lender any questions they may have before moving forward with the mortgage application process.