Just wanted to know if there are any limit on the rate at which i can switch the LO output? Will it harm the device if i change it at every 2msec?
Yes you can hop the Lo frequency every 2msec.
You can use the fast lock feature in our chip in which the hop time is reduced to 20usec. Refer to the "FAST LOCK PROFILES" section in UG for details on configuring in this mode
Refer to the below link: