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Mortgage Rate Lock Extension Calculator

If your close is delayed past the rate lock expiration, you pay an extension fee (0.0625%-0.25% per extension) or re-lock at current market rate. This calculator compares both.

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Recommendation

Extend lock

Extension cost

$1,000

Lifetime cost if re-lock at market

$47,858

Monthly payment difference

$133

How the math works

$400K locked at 6.5%, market at 7%, 14 days extension needed: extension fee $1,000 (2 weeks × 0.125%). Lifetime cost of re-locking at 7%: ~$47K higher. Extend easily wins.

If market rate has dropped below your lock, just let it expire. Re-lock at lower rate — net win. If rates rose, extend.

How to Use

  1. Enter locked rate, current market rate, and extension fee.
  2. Enter days of extension needed.
  3. See which path is cheaper.

Frequently Asked Questions

What does extension cost?

$0.0625%-$0.25% per extension week (varies by lender). Some offer free 7-day extensions. On $400K loan at 0.125% = $500 per week of extension.

Does lock drop if rates fall?

Most locks are one-direction: locks protect against rate rise but don't float down. Some 'float-down' locks exist — typically 0.125% extra cost upfront.

What if I miss the lock?

Re-lock at current market rate. If rates dropped, you win. If rose, you pay higher rate for 30 years — expensive. Extend if rates are rising.

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