What is a "rate lock period"?

Locking It In

A rate "lock" or "commitment" is a lender's promise to freeze a specific interest rate and a specific number of points for you for a specified period of time while your application is processed. This means your interest rate can't grow during the application process.

Rate lock periods can vary in length, anywhere from 15 to 60 days, with the longer spans typically costing more. You can get a longer period for your lock, but in choosing this option, will likely have a higher interest rate than you would with a shorter rate lock span of time

More Ways to Get a Great Interest Rate

In addition to opting for a shorter rate lock period, there are other ways you are able to get the best rate. A larger down payment will give you a lower interest rate, because you will be starting out with a good deal of equity. You can pay points to improve your rate over the loan term, meaning you pay more up front. To many people, this makes financial sense..

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