When should my buyer lock their mortgage rate?
Rob Miller explains mortgage rate lock strategy for Wisconsin Realtors — when to lock, how long to lock, and what happens if the lock expires.
Rob Miller, Branch Manager at MadCity Home Loans, gives Realtors a framework for timing the rate lock conversation with buyers.
When should my buyer lock their mortgage rate?
Timing a rate lock is part strategy, part market reading, and part knowing how long your transaction realistically takes. Here's how I approach it with every buyer:
The Standard Lock Window
Most purchase transactions in Wisconsin close in 30–45 days from offer acceptance. I typically recommend a 45-day lock as soon as the offer is accepted and we're moving toward underwriting. It gives us a buffer without paying for a longer lock unnecessarily.
Why Lock Early?
Rates can move significantly in a matter of days — sometimes 0.25–0.5% on a volatile week. Once we lock, your buyer's rate is guaranteed regardless of what the market does before closing. In a rising-rate environment, locking early protects a payment they've already budgeted around.
Float vs. Lock
"Floating" means we don't lock yet — we wait and hope rates improve. I only recommend this when there are credible signals rates may drop meaningfully within the lock window. For most buyers, the risk of floating isn't worth the potential savings.
What If the Lock Expires?
If closing is delayed beyond the lock window, we can extend — usually for a small fee, or sometimes free if the delay is lender-caused. This is why choosing a lender with a strong track record on closing timelines matters.
Related Guide: Understand our full mortgage process timeline in the Complete Home Buying Guide.