Finance Tools

Rate Lock vs Float Calculator

Compare locking your mortgage rate now vs waiting (floating) based on expected rate changes and time to closing.

This tool compares locking your mortgage rate today vs floating until closing. It shows the payment difference and a simple expected-value view based on your probability estimate.

How to use this rate lock vs float calculator

  1. Enter your loan amount, term, and the rate you can lock today.
  2. Enter your expected rate if you wait (float) until closing.
  3. Enter your time to closing (days) and the probability that rates go to your expected float rate.
  4. Click Calculate to compare monthly payments and an expected-cost view of lock vs float.

Example

Suppose you can lock a rate today, but you think rates might fall before you close.

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