"Rate Lock" and other Ways to Get a Lower Interest Rate
In the market for a new mortgage? We'd be thrilled to answer your questions about our mortgage offerings! Call us at 678-546-3040. Ready to begin? Contact a loan officer to get pre-approved today!
Locking It In
A rate "lock" or "commitment" is a promise from the lender to hold a specific interest rate and a particular number of points for you for a specified period while your application is processed. This ensures that your interest rate cannot go higher during the application process.
While there may be a choice of rate lock periods (21 days, 30 days, 45 days), the extended ones are usually more expensive. You can get a longer period for your lock, but in choosing this option, will most likely have a higher interest rate than you would with a shorter period
More Ways to Get a Great Interest Rate
In addition to choosing a shorter rate lock period, there are more ways you may be able to get the best rate. A bigger down payment will result in a better interest rate, because you'll be starting out with more equity. You can pay points to reduce your rate over the term of the loan, meaning you pay more initially. To many people, this is a good option.
At Atlanta Mortgage Lending, we answer questions about this process every day. Call us: 678-546-3040.