Hello everyone,

Thanks a lot to this great forum and the senior contributors for taking time out to answer queries.

As I get closer to locking/closing, I have a basic question about the nitty-gritties.

I am closing on August 5th. Does this mean I enter the 30-day rate lock period on July 5th? on July 6th?

Or do I enter the 30 day rate lock period 30 days before I actually sign the mortgage documents (sorry for the vague description but I understand that I sign all the mortgage documents a week or two before the actual closing... sometime around july end in my case?).

How much extra does it cost for a 45-day lock? I think I am ready to lock whatever is available now since the rates have already improved considerably since, say, 2 weeks back. Mine is a 30yr FHA loan (340K purchase, 3.5% down, good score).

Since July has 31 days, you could lock on a 30 day term July 7th.

I am not sure why you say that you sign all of the mortgage documents a week or 2 before closing.  If you have a file in process, you should have signed the disclosures that are required by law already.  At closing, you will sign on the final documents.

Each lender is free to determine if they have longer lock periods and how much extra it would cost to lock on them.  You would have to check with your lender/broker to find out the additional cost and if it is allowed.  Often the cost is 0.125 - 0.375%.