approved for a loan. It’s generally best to wait to lock in your rate until you’ve found the right home—the one that meets your needs and most of your wants—and have submitted an offer. Timing matters. Locking in too early can mean missing out on a better rate later, or paying extra if you need to extend the lock. The longer the rate lock, the higher the potential cost. At the same time, waiting too long has risks. If rates drop or start rising, you could lose the advantage of a lower rate. Some buyers choose to lock in as soon as a favorable rate is available, which can pay off, but there’s always a balance between acting too quickly and waiting too long. The best approach is to consult with your mortgage broker. They can advise on market trends, the costs of extending a rate lock, and help you determine the right timing for your situation.
Points to Remember:
Home loan shopping can be complex and time-consuming, but it’s an essential part of buying a home. Take the time to research and compare loan options, find the best deal for your situation, and know when to lock in a favorable rate. Mortgage rates can change quickly, so timing matters. Follow the steps outlined above, and consult your mortgage broker for guidance—they can help you navigate the process and make the best decisions for your financial future.
141
Powered by FlippingBook