Commitment Letter
Quick Summary
The lender's formal offer outlining terms and conditions.
ELI5 Explanation
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It is the deal sheet that tells you the exact mortgage rules.
Detailed Explanation
This document sets rate, fees, term, payment type, and conditions precedent. Legal review is essential before signing.
Example
A commitment states 11.49% interest-only, 12-month term, and a 2% lender fee.
Why It Matters
It is the contract blueprint before legal closing docs.