When Should You Lock A Mortgage Rate?

August 24, 2010

in News

When Should You Lock A Mortgage Rate?

When is the timing right to lock in your mortgage rate? With a rate lock, lenders are obligated (with a few exceptions) to offer a home loan at an agreed-upon rate regardless of whether mortgage rates have changed between the time of the loan approval and the closing date. Consumers looking for a mortgage who find a great mortgage rate typically choose to lock it in for a specified period of time. Todd Dal Porto, a national sales executive with Bank of America Home Loans, says most lenders offer a loan lock period of 30, 45, 60 or 90 days. If you’re shopping for a home loan, when is the best time to lock your mortgage rate? “The time to lock in a loan depends completely on individual circumstances, so borrowers should work closely with their loan officer to make the decision,” Dal Porto says. [Read this article]

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