A rate lock is a lender's guarantee to hold a specific interest rate for a set period — typically 30, 45, or 60 days — while your loan is being processed. If rates rise during that period, your locked rate is protected. If rates fall, you're stuck with the higher rate (unless you have a float-down option).
Rate LockStrategyTiming
What Is a Rate Lock?
When Should You Lock?
There's no perfect answer, but here are the key considerations:
- Lock early if: Rates are rising, you've found your home and are under contract, or you're risk-averse.
- Float if: Rates are trending down, you have time before closing, or you have a float-down option.
Most buyers lock at the time of loan application or shortly after going under contract. Turn Times offers lock periods from 15 to 90 days.
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