As soon as you are in contract, we will discuss locking in your interest rate. Mortgage interest rates change daily, sometimes hourly, depending on the U.S. bond market and other financial markets.

Normally, I will quote a rate that can be locked in for 30 days; if your escrow period is longer and the rate needs to be locked for more than 30 days, then either the rate or the points will be a little bit higher than the 30 day rate.

The alternative to locking in your rate as soon as you get into escrow is to let it "float", and hope that rates wil be the same or better when you get closer to your closing date. I usually don’t recommend this option, because rates can rise unexpectedly and with very little warning.

What if rates do go down during your escrow period? If I have enough time to withdraw your loan from one lender and re-submit your loan to another lender, I will do so and you will be able to take advantage of the lower rate.