A rate "lock" or "commitment" is a lender's promise to set a certain interest rate and a specific number of points for you for a certain period of time while your application is processed. This keeps you from getting through your whole application process and discovering at the end that your interest rate has gone up.
Although there are various lengths of rate lock periods (from 15 to 60 days), the extended spans are generally more expensive. You can get a longer period for your lock, but in making this choice, will likely have a higher rate than you would with a shorter rate lock period
In addition to choosing the shorter lock period, there are several ways you can get the lowest rate. The larger down payment you make, the smaller the interest rate will be, as you will have more equity from the start. You can pay points to lower your interest rate over the term of the loan, meaning you pay more initially. To a lot of people, this makes sense and is a good deal..
Do you have a question regarding a mortgage program?