Definition
A rate hold is a lender commitment to honour a specific rate for a defined period — typically 90 to 120 days in Canada, with some lenders offering up to 130 days. During this window, if market rates rise, you benefit from the locked rate. If rates fall, most lenders grant you the lower of your protected rate and the market rate at finalization.
A rate hold is obtained at pre-authorization or when submitting a full application for an identified property. It is free — lenders charge no fee for this service. It is, however, conditional: if your financial situation changes significantly before finalization (job loss, major new debt), the lender may revise the offer.
For Quebec real estate buyers, a 90-120 day hold typically covers the period between accepted purchase offer and signing at the notary, which usually takes 60 to 90 days in Quebec.