When a Rate Lock Runs Out

If your rate lock expires before you close, the lender is no longer committed to the locked rate and price. Usually you can avoid that by asking for an extension before the expiration date, which may cost something under the lender's lock policy. If the lock does expire, the loan is typically relocked at current pricing, which may be better or worse than the original lock, depending on the market. Any change to the rate or to points and credits is shown on a revised Loan Estimate or corrected Closing Disclosure (12 CFR 1026.19(e)(3)(iv)(D)).

How locks work

A rate lock is a commitment to a rate and price for a set number of days. The Loan Estimate shows whether the rate is locked and, if so, until when (12 CFR 1026.37(a)(13)). Longer locks are usually priced higher than shorter ones because the lender is holding the price longer. The CFPB explains locks in plain terms (CFPB). See when to lock.

Why locks run out

• A late appraisal or a repair requirement.
• An open title issue or survey problem.
• A late HOA resale certificate.
• Underwriting conditions that took longer to clear.
• A closing date moved in the contract.

The lock does not pause itself while these get resolved.

Your options before expiration

1. Extend. Ask before the expiration date what an extension costs for the days you need. Some lenders allow short extensions at a set cost; others reprice. The policy should be in your lock confirmation.
2. Close sooner. Sometimes clearing one condition fast is cheaper than extending.
3. Decide who pays. If the delay was caused by the seller or another party, your agent may be able to negotiate the extension cost, depending on the contract.

If it already expired

The lender relocks at current pricing under its policy. If the market improved, the new lock could be better. If it worsened, the new lock costs more. That is the risk the lock was bought to avoid, and it comes back when the lock ends. The lender must send a revised disclosure within three business days of the relock showing any change to rate-dependent charges. See when a Loan Estimate can be revised.

Do not confuse two expirations

The Loan Estimate has its own expiration for estimated closing costs, separate from the lock. And the TREC contract has its own closing date and deadlines (TREC No. 20-19). Track all three.

Fictional example

Fictional example: a Fort Worth closing is set three days after the lock expires because the HOA certificate was late. A week before expiration, the borrower asks what an extension costs for those days. With that number in hand, the borrower and agent ask the seller to share the cost, since the delay came from the association. The extension is approved before expiration, and the closing happens on the new date at the locked rate.

Common mistakes

• Finding out about the expiration on the morning of closing.
• Assuming the lender will extend for free.
• Choosing the shortest lock without leaving room for the contract timeline.

For the last steps before signing, see closing day.

Next step

If you are locking soon, I can help you pick a lock period that matches your contract timeline so you are not paying for an extension later. Book a call, or start an application.

Related questions

• When should I lock my rate?
• Closing day, step by step
• When can a lender revise the Loan Estimate?

Sources

Links checked Oct 21, 2026.

• CFPB Ask CFPB, What's a lock-in or a rate lock on a mortgage? (last reviewed May 2, 2023): https://www.consumerfinance.gov/ask-cfpb/whats-a-lock-in-or-a-rate-lock-on-a-mortgage-en-143/
• CFPB Regulation Z, 12 CFR 1026.19(e) and (f) Loan Estimate, Closing Disclosure, tolerances and changed circumstances (current text): https://www.consumerfinance.gov/rules-policy/regulations/1026/19/
• CFPB Regulation Z, 12 CFR 1026.37 Content of the Loan Estimate (current text): https://www.consumerfinance.gov/rules-policy/regulations/1026/37/
• TREC One to Four Family Residential Contract (Resale), TREC No. 20-19, Paragraphs 5, 13 and 23 (form dated May 4, 2026): https://www.trec.texas.gov/forms/one-four-family-residential-contract-resale

About the author: McKade Lively, NMLS 2704474, American Pacific Mortgage Corporation dba True North Home Loans, NMLS 1850.

Equal Housing Opportunity.

Last reviewed: Oct 2026

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