Lock and Shop


When someone contacts me to get prequalified for a loan, one of the first questions involves locking in their interest rate. Traditionally, lenders do not allow borrowers to lock in an interest rate until they have a contract on a home. The rate lock is “attached” to a property and not a borrower.

Well, not everyone sees it that way!

We have a program known as “Lock and Shop.” Buyers can lock in their interest rate today without a purchase contract, and then go out looking for a home. The program typically works like this:

  • I prequalify a buyer to purchase a home.
  • Once prequalified, we can lock the borrower into a 60 day rate lock.
  • 60 days is a good time frame. This provides roughly 30 days to look for a home AND then 30 days to get a loan approved once there is a purchase contract. Plenty of time for both!
  • While I can lock in an interest rate prior to having a contract, underwriting will not commence until an executed purchase contract is provided.

This is a great program for buyers. They can go ahead and lock in a rate now, and not feel so pressured to find a home before rates could possibly get worse. With a 60 day lock, there really isn’t a rush on either side of the equation (finding a house and then getting loan approval). 60 days is more than enough time for both!

If you’d like to learn more about the lock and shop program for a property in Georgia, you know where to find me!


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2 Responses to “Lock and Shop”

  1. Going Up? Down!?! « The Mortgage Blog Says:

    […] of my recent posts discussed the Lock and Shop program. Click the link for all the details, but in short, buyers can lock in a rate for 60 days […]

  2. Rise of the Interset Rates – Part 3 | The Mortgage Blog Says:

    […] should interest rates improve after you lock the rate. – if starting to look at homes, try our lock and shop program. You can look to do a 45 or 60 day rate lock (30 days to find a home and 21 days to […]

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