When should I lock my rate?
Ryan Ward, Seattle Mortgage Banker, talks about locking your interest rates and when is the best time to lock your interest rate.
Locking your interest rate means that your lender is guaranteeing a rate on your loan even if the market rates change before closing. Most lenders will allow you to lock your rate 30 to 60 days before closing, with the option to extend the rate-lock period for a fee. Knowing when to lock your interest rate is an educated guess. nobody will know for sure whether interest rates will go up before closing. But, following the market can be a good way to gauge what is going on in the financial market. It helps to keep track of the announcements from the Federal Reserve Boars, along with following the bond market rates. A good lender or financial advisor will be able to provide you with this information along with their predictions on the what interest rates will do.