Well, just as the topic says, what happens when your rate lock expires? My current rate is locked in at 4.75 w/ an 1/8 of a point and expires towards the end of the month, but rates have gone lower in the last several weeks. The rate lock looks like it might just expire before we close, so can I adjust the rate to the current rate at the time of closing (assuming rates don't move higher)? Anyone's input in terms of how I could/should handle this situation is much appreciated. The lender guaranteed a rate of 4.75% at 1/8 point for another week, but we didn't actually pay to extend the lock period. Is it possible my rate could be negotiated down slightly?

This question is hard to answer without more info. The best way to go in my opinion is to.

Call the lender ask what options are available to you for a reprice. Have them define all your options.

Squeeze them a little and see how much they cough up.

Quote:

so can I adjust the rate to the current rate at the time of closing

NO

floatdown. typically will cost you some pricing (anywhere from 25 to 75 bps). Also typically you have to make a committment to close within a short time (7-10 days)