Mortgage Rate Locks Explained

One of the most common questions I get from buyers who are still shopping for a home is about mortgage rate locks — what they are, when to use one, and what happens if something goes wrong. Here’s what you need to know.

Is a Rate Quote a Guarantee?

No. A rate quote is simply a snapshot of where rates are at the moment your loan officer prepares it. Mortgage rates can change multiple times throughout the day — and sometimes the rate has already shifted by the time you finish reading the quote. A rate quote is not a commitment, a guarantee, or an approval.

Your rate is only secure once it is locked in writing.

Does a Loan Estimate Mean My Rate Is Locked?

Not necessarily. Your Loan Estimate will show whether your rate is locked or floating. If it’s locked, it will indicate the expiration date of the lock. If it’s floating (not yet locked), the rate shown reflects current market pricing at the time the estimate was prepared — and it can change.

Can I Lock Before I Find a Home?

Generally, no. Most lenders require a signed purchase and sale agreement before locking a rate. To lock, your lender will typically need the property address, your full legal name, Social Security number, loan program, purchase price, loan amount, credit scores, and the number of days needed to close.

If you’re refinancing, you can usually lock once your closing timeline is reasonably clear.

How Long Are Rate Locks?

Lock periods are typically available in 15, 30, 45, 60, and 90-day increments. The most common for a purchase is a 30 or 45-day lock, timed to your target closing date.

The longer the lock period, the more it costs. Here’s a general example of how lock pricing might compare, using a 30-day lock as the baseline:

• 15-day lock — slightly better pricing than 30 days
• 30-day lock — baseline (par)
• 45-day lock — modest cost over 30-day pricing
• 60-day lock — moderate cost over 30-day pricing
• 90-day lock — higher cost; may require a non-refundable upfront lock fee

The exact cost difference varies by lender and market conditions. At longer lock periods, some borrowers opt to take a slightly higher rate rather than pay the increased cost upfront — your loan officer can help you run the numbers.

What Happens If the Lock Expires?

If your loan doesn’t close before the lock expires, the lender may need to extend it. Extension costs vary by lender — a common structure is a fee per day of extension. On a larger loan amount, even a short extension can add meaningful cost. That’s why it’s important to lock for the right amount of time from the start.

If a lock expires without an extension, lenders handle it differently. Some reprice the loan at current market rates; others may apply “worse case” pricing — meaning you get whichever rate is less favorable, the original locked rate or current market. Always confirm your lender’s policy in advance.

What Should I Receive When I Lock?

Once your rate is locked, you should receive:

1. A written lock confirmation showing the rate, points, and lock expiration date
2. A revised Loan Estimate reflecting the locked rate and terms

If you don’t receive both of these, ask for them. A verbal lock is not enough.

Should I Lock Now or Wait?

That depends on how close you are to closing, where rates are trending, and your personal risk tolerance. If rates are volatile or your closing is imminent, locking sooner makes sense. If you have more time and rates appear to be improving, floating a bit longer may be worth considering — but it’s always a calculated risk.

This is exactly the kind of conversation I have with clients regularly. If you’re buying or refinancing a home in Washington State and want to talk through your options, I’d love to help. Request a rate quote here or reach out directly — let’s talk.