What is a "rate lock period"?

Lock It In

When you're promised a "rate lock" from the lender, it means that you are guaranteed to keep a specific interest rate for a certain number of days while you work on your application process. This means your interest rate will not get higher as you are working through the application process.

While there can be a choice of rate lock periods (from 15 to 60 days), the longer ones are usually more expensive. You can get a longer period for your lock, but in doing so, will likely have a higher rate than you would have 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 more ways you are able to get the best rate. A larger down payment will get you a lower interest rate, since you will be starting out with a good deal of equity. You may opt to pay points to reduce your interest rate for the term of the loan, meaning you pay more initially. To a lot of people, this makes sense and is a good deal..

AccessOne Mortgage can walk you through the pitfalls of getting a mortgage. Give us a call: 919-787-6080.