When you are promised a "rate lock" from the lender, it means that you are guaranteed to keep a set interest rate for a certain number of days while you work on the application process. This means your interest rate cannot get higher during the application process.
Rate lock periods can vary in length, anywhere from fifteen to sixty days, with the longer period usually costing more. A lending institution can agree to lock in an interest rate and points for a longer period, such as sixty days, but in exchange, the rate (and sometimes points) will be higher than with a rate lock of fewer days.
There are more ways to get a good rate, besides choosing a shorter rate lock period. The bigger the down payment, the better your rate will be, since you will be starting with more equity. You can pay points to improve your interest rate for the loan term, meaning you pay more up front. For many people, this is a good option..
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