---
title: What is a rate lock?
description: A guarantee for a set period of time to “hold” a specific interest rate on a loan for a property in contract until the date that the loan funds.
---

[Skip to content](https://info.jvmlending.com/knowledge/what-is-a-rate-lock#main-content)

English

Show submenu for translations

![jvm\_logo\_small.png\]](https://info.jvmlending.com/hs-fs/hubfs/Logos/jvm_logo_small.png?height=40&name=jvm_logo_small.png)

Open main navigation

Close main navigation

- English
  
  Show submenu for translations
- [Go to jvmlending.com](https://www.jvmlending.com/)

[Go to jvmlending.com](https://www.jvmlending.com/)

 Welcome! How can we help you?

- There are no suggestions because the search field is empty.

1. [Knowledge Base](https://info.jvmlending.com/knowledge?hsLang=en)
2. [FAQs](https://info.jvmlending.com/knowledge/faqs?hsLang=en)
3. [Mortgage Interest Rates](https://info.jvmlending.com/knowledge/faqs?hsLang=en#mortgage-interest-rates)

# What is a rate lock?

## A guarantee for a set period of time to “hold” a specific interest rate on a loan for a property in contract until the date that the loan funds.

A rate lock is a guarantee for a set period of time (15 or 30 days typically) to “hold” a specific interest rate on a loan for a property in contract (i.e., a buyer’s written offer has been formally accepted) until the date that the loan funds. Rate locks can normally be **extended** for a few days (and up to a few weeks, depending on the investor) beyond their original expiration date in order to preserve the rate if there are any delays to the closing timeline. **The extension will be in exchange for a one-time “lock extension fees” added to closing costs.**

**The benefit of a rate lock is that it acts as a hedge to protect borrowers from market rate hikes;** as somewhat of a double-edged sword, **this also prevents borrowers from holding out and regularly requesting their rate be lowered (i.e., a “rate rolldown”) whenever there’s a slight dip in the market.** JVM does lock with several investors who have the option to roll down a locked interest rate if there’s a significant enough dip in the marketplace. **We monitor the market for this opportunity from the moment a client locks in their rate until their loan docs are drawn.**

- [FAQs](https://info.jvmlending.com/knowledge/faqs?hsLang=en#main-content)

    - [Closing](https://info.jvmlending.com/knowledge/faqs?hsLang=en#closing)
    - [Getting Pre-Approved](https://info.jvmlending.com/knowledge/faqs?hsLang=en#getting-pre-approved)
    - [Post-Close](https://info.jvmlending.com/knowledge/faqs?hsLang=en#post-close)
    - [Making Offers](https://info.jvmlending.com/knowledge/faqs?hsLang=en#making-offers)
    - [Loan Products](https://info.jvmlending.com/knowledge/faqs?hsLang=en#loan-products)
    - [Mortgage Interest Rates](https://info.jvmlending.com/knowledge/faqs?hsLang=en#mortgage-interest-rates)

[![Chill listening crop-3](https://info.jvmlending.com/hs-fs/hubfs/Logos/jvm_logo_small.png?width=72&height=36&name=jvm_logo_small.png "Chill listening crop-3")](https://www.jvmlending.com/)

JVM Lending | Knowledge Base

Copyright © 2026, JVM Lending