Navigating the mortgage maze? Let’s unravel one of its mysteries – the ‘Rate Lock.’

A rate lock is like a safety net for borrowers. It guarantees your interest rate remains unchanged for a set period, shielding you from the unpredictable daily shifts in mortgage rates. 📉📈

Key Takeaways:

1. Rates are not set in stone until locked.
2. Longer rate locks may come at a premium.
3. Aim to lock in alignment with your closing date.
4. Allow for potential delays, like additional appraisals or title issues.

Bonus: While a rate lock protects against rate hikes, some lenders offer a ‘float down’ option if rates plummet – albeit often with a fee.

Knowledge is power, especially in real estate. Got questions? DM me!