Rate Lock
Rate Locking for your Next Mortgage
You may have heard the term Rate Lock before and it’s an important part of the home loan process. When you decide to obtain a new mortgage you will want to find out when or even if the rate you are thinking of getting will be locked in. Some mortgage rates float (the can go up or down) while you go through the home loan process. Most rates though are locked in and it’s important to know when. Below are times when most lenders will allow you to Rate Lock your mortgage:
1. You’ve completed a loan application, an appraisal has been ordered and a preliminary title report has been ordered.
2. A loan approval from the bank has been issued.
3. #1 and #2 are completed and you have a completed appraisal.
Every mortgage lender is different and the above is just a general guideline to follow. The most important thing is to ask about when your rate will be locked.
Kevin O’Connor
Mortgage Consultant
www.koloans.com
800.550.5538
Fixed Rate Adjustable Rate LIBOR
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