When disclosing a multiple-advance construction loan, the Adjustable Payments (AP) Table must generally be included on both the Loan Estimate (LE) and Closing Disclosure (CD). The purpose is to show how the payment could change over the life of the loan. Specifically, the AP Table informs the consumer as to whether the loan will have interest-only, optional, step or seasonal payments, as well as when and how the monthly principal and interest payments could change. For interest-only construction loans, the AP Table generally provides when the first and subsequent changes could occur as well as the amount and timing of the maximum payment.
Jerod explains this in more detail in the video.
Published 2027/07/27