Getting a Low Interest Rate

Locking It In

A rate "lock" or "commitment" is a lender's promise to freeze a specific interest rate and a particular number of points for you for a specified period while your application is processed. This protects you from going through your entire application process and learning at the end that the interest rate has gotten higher.

Rate lock periods can vary in length, anywhere from fifteen to sixty days, with the longer spans typically costing more. You can get a longer period for your lock, but in doing so, will likely have a higher rate than you would have with a shorter rate lock span of time

More Ways to Get a Great Interest Rate

There are other ways to get a low rate, besides choosing a shorter rate lock period. The larger down payment you make, the better your interest rate will be, because you will be starting with more equity. You may choose to pay points to bring down your interest rate for the loan term, meaning you pay more up front. To many people, this makes financial sense..

Marshall Lending can answer questions about rate lock periods and many others. Give us a call at 9162758775.

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1165 25th Ave
Sacramento, CA 95822