Should I lock my rate now or wait?
Lock once two things are true: the payment works for your budget, and your expected closing date fits inside the lock period with room to spare. A quote is not protection — until you lock, every quoted number can move with the market. Waiting to lock is a bet on short-term rate direction that professionals get wrong constantly; the cost of being wrong is asymmetric, because a rate that rises past your qualification can sink the loan, while a rate that falls after locking usually just means you locked a fair price.
Last reviewed 2026-08-24
What a rate lock actually is
A lock is a written commitment from the lender to honor a specific rate and points combination for a defined window — commonly 30, 45, or 60 days. It should arrive as a written lock confirmation naming the rate, the points, the lock date, and the expiration date. If you do not have that document, you are not locked, whatever was said on the phone. When a “locked” rate changes anyway
Pick the lock period from your closing date, not the price sheet
Shorter locks price slightly better, which tempts borrowers into 30-day locks on 45-day closings. If the lock expires before closing, the extension fee — typically quoted as a fraction of a point per extension block — can erase the savings several times over. Count backward from your realistic closing date, add buffer for appraisal and underwriting delays, and choose the period that covers it.
Float-down options: useful, but read the terms
A float-down lets you re-lock at a lower rate if the market drops after you lock. Terms vary widely between lenders: some offer one free float-down, some charge for the option, and most require the market to fall by a minimum threshold before it triggers. None of that is standardized, so get the float-down terms in writing before you rely on them — including the trigger threshold, the cost, and whether it can be used once or repeatedly.
New construction: the long-lock problem
Build timelines regularly outrun standard lock periods, which is why builders and their preferred lenders sell extended locks of 90 days or more, usually with an upfront fee and sometimes with a float-down attached. Compare the all-in cost of the extended lock against locking a standard period later — and treat any builder incentive tied to using their lender as a number to verify against outside quotes, not a discount to take on faith.
If your lock is about to expire
Ask three questions immediately: what the extension costs, who caused the delay, and whether the lender will cover the extension if the delay was on their side — lenders often will if asked directly and the file shows it. If the market has fallen since you locked, also price a fresh lock elsewhere: switching lenders before closing is disruptive but possible, and the credible threat alone changes negotiations.
Ralo is an automated mortgage broker — not a lender — that compares multiple lenders from one application, earns a thin commission, and shows rate, APR, and fees upfront. Rates shown anywhere on this site are illustrative examples, not a loan approval, rate lock, or commitment. Available where licensed: California, Colorado, and Texas.