Yes, locking to reserve funds is normal for a program like this, and the lock works differently than you may be picturing. With a typical loan you lock to protect against rates rising while you shop. Dream For All has no rate-shopping game to play: CalHFA sets a single fixed program rate rather than pricing each borrower by credit score the way conventional loans do, and that program rate barely moves. The rate is simply what the program offers. The scarce resource is the assistance money, and locking is how your spot in the pool gets reserved. On a limited-funding program the money can be spoken for quickly, so a lender who locked and reserved fast was protecting your place. Moving promptly was the right call. You are still right to expect disclosure. Your lender should walk you through how the program rate is set, what locking commits you to, and any terms tied to the assistance. Ask them to confirm all of that in writing. Program structures and rates change by cycle, so verify the current terms for whatever round is open. If you want a second set of eyes on the paperwork, we are glad to review it.