Rate locks explained: length, extensions and the fine print
What a lock covers
Lock note
A lock usually fixes the interest rate and the points or lender credit for your specific loan: the program, the loan amount, the property type and your credit profile as submitted. It does not lock your closing costs from other providers, your taxes or your insurance. If the facts the price was based on change, the lender may change the price.
Last reviewed against the primary sources listed below.
Locked versus not locked
| Item | Typically held by the lock | Not held by the lock |
|---|---|---|
| Interest rate | Yes | |
| Points or lender credit | Yes | |
| Third-party fees | Can change within federal tolerance rules | |
| Property taxes and insurance | Set by others |
Ask before you lock
- Is there a fee to lock, and is it refundable?
- Can I lock before I have a property under contract?
- What happens to my lock if my loan amount changes?
Rate lock questions
Does a rate lock cost money?
Some lenders lock at no separate charge for standard periods and charge for longer ones. Ask the lender to state any lock fee in writing.
Can I lock before finding a house?
Some lenders allow it, often for a longer and costlier lock period. Others lock only once a property is under contract.