01Loan Estimate Guide
How to Read Section C of Your Loan Estimate
Section C is useful because it puts two things in one place: the closing services your lender permits you to shop for and the estimated amount currently included for each one.
Loan Estimate Guide
Before you start
Use the Loan Estimate for the mortgage you are actually moving forward with.
If you received Loan Estimates from more than one lender, make sure you are reading the current document for the loan you selected. Closing costs and the services listed as shoppable can differ between lenders and transactions.
Read Section C in five steps
Find page 2 and Section C
Look under Loan Costs for the heading Services You Can Shop For. This is separate from Section B, Services You Cannot Shop For.
Read each service name
Each line identifies a service your lender requires and permits you to shop for. Use the wording on your own Loan Estimate because service names can vary.
Note the estimated amount
The dollar amount next to the service is the estimated charge included in the Loan Estimate. It gives you a starting point for comparing another provider.
Check the provider list from your lender
Your lender should provide a written list of providers for shoppable services. If you want to consider a provider outside that list, check with your lender before relying on that option.
Compare like with like
A lower number is useful only if it covers the same or comparable service and the provider can actually serve your transaction.
What the number means
The Section C amount is your comparison baseline, not a guaranteed final bill.
The Loan Estimate contains estimated costs. If you find an eligible provider with lower pricing, the difference can indicate a savings opportunity. The final charge is confirmed later from the Closing Disclosure.
What to write down
Four details make a useful comparison.
Service name
Use the exact or clearly comparable service so you do not compare two different things.
Loan Estimate amount
This is the current estimated charge you are trying to compare or improve.
Provider price
Ask what the alternative provider would charge for the applicable service and what the price includes.
Provider requirements
Confirm service area, timing, validity, and any lender review that still has to happen.
A common mistake
Do not assume every closing-cost line is independently shoppable.
Section B is specifically labeled Services You Cannot Shop For. Other costs elsewhere on the Loan Estimate follow different rules and may involve lender charges, taxes, insurance, prepaids, or optional items. Section C is the clearest place to start when you want to compare third-party providers for your current loan.
See Which Closing Costs You Can ShopWhen a lower price appears
Check whether the option can actually be used.
An alternative provider may offer a lower price, but the provider still needs to fit the transaction. If the provider is not on your lender's list, ask the lender whether the provider can be used and what information is needed before you make the switch.
Skip the manual sorting
ClosingCash reads the relevant Section C details for you.
Your Free Savings Scan identifies the relevant shoppable services and helps you see where comparing prices may be worthwhile.
Scan My Loan EstimateKeep reading
Related guides
What Is Section C on a Loan Estimate?
Learn where Section C appears, what Services You Can Shop For means, and why this part of the Loan Estimate matters.
Which Closing Costs Can You Shop For?
See how to identify shoppable services and what to check before using a provider that is different from the lender's list.
Loan Estimate vs. Closing Disclosure
Understand what each mortgage disclosure tells you and how to compare estimated closing costs with the final charges before closing.
Page information
Written by Matt Stein, Founder of ClosingCash
Updated
Sources and editorial note
This page provides general educational information. Loan requirements, available services, pricing, provider availability, and lender acceptance can vary by transaction. ClosingCash does not guarantee savings or outcomes.
Read our editorial and corrections policy, or email hello@shopmyclosingcosts.com to suggest a correction.