What is a "rate lock period"?

Lock It In

When you're promised a "rate lock" from your lender, it means that you are guaranteed to keep a specific interest rate over a certain number of days while you work on your application process. This ensures that your interest rate won't grow during the application process.

Although there are several lengths of rate lock periods (from 15 to 60 days), the extended ones are usually more expensive. You can get a longer period for your lock, but in choosing this option, will likely have a higher rate than you would have with a shorter rate lock span of time

Other Ways to Save on Interest

In addition to opting for the shorter lock period, there are several ways you are able to attain the best rate. A larger down payment will get you a lower interest rate, because you'll have more equity from the beginning. You can pay points to improve your interest rate for the loan term, meaning you pay more initially. To many people, this makes sense and is a good deal.