Lock-ins of 30 to 60 days are common but lock-in time periods may range from 7 to 120 days.
Usually, the longer the period, the greater the fee.
Before deciding on the length of your lock-in:
- Ask your lender to estimate (in writing, if possible) the time needed to process
your loan;
- factor in any delays that might impact settlement (construction issues, etc.); and
- ask for a lock-in with as few contingencies as possible.
This information is adapted from "A Consumer's Guide to Mortgage Lock-Ins" published by
the Federal Reserve Board and the Office of Thrift Supervision.
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