Smart strategy saves thousands mortgage rate lock vs float

Benefits of Locking Your Rate

Locking in your mortgage rate offers stability and peace of mind. In a volatile interest rate environment, a rate lock ensures that you are protected from any sudden increases that could make your mortgage more expensive. For instance, if you lock in a rate at 3.5% and rates climb to 4% before closing, you’ll still benefit from the lower rate. This predictability allows you to plan your budget more effectively, knowing exactly what your monthly payments will be.