When you are offered a "rate lock" from a lender, it means that you are guaranteed to get a specific interest rate over a determined period while you work on your application process. This ensures that your interest rate will not grow as you are going through the application process.
Rate lock periods can vary in length, anywhere from 15 to 60 days, with the longer ones usually costing more. The lender will agree to lock in an interest rate and points for a longer period, like 60 days, but in exchange, the rate (and sometimes points) will be more than with a rate lock of fewer days.
In addition to going with the shorter lock period, there are several ways you can score the lowest rate. The bigger down payment you can make, the smaller your interest rate will be, because you will be entering the loan with more equity. You could choose to pay points to reduce your rate over the loan term, meaning you pay more initially. One strategy that is a good option for some is to pay points to reduce the rate over the term of the loan. You are paying more initially, but you'll come out ahead, especially if you keep the loan for a long time.
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