Locking in the interest rate on a mortgage loan before it funds can save you money if rates go up after you lock. At the very least, a rate lock allows you to better plan because you know what your interest rate and cash requirements will be. Bear in mind, however, that lock-ins only last so long, usually 30 to 60 days.

If you lock in a rate, get the lock-in terms in writing. Then, make sure the lock period doesn't expire before the loan funds by:

• Getting your loan broker to have the appraisal done early.
• Making sure that your loan broker has every piece of documentation required.
• Staying in contact with your loan broker to make sure nothing is missing from your file that could hinder a timely closing.