Demystifying Your First Mortgage Payment

When it’s time to make your first mortgage payment, it’s easy to get confused. Is it due at closing? At the end of the month? If you close at the end of the month, do you need to submit your payment within a few days?

Don’t miss your first mortgage payment! Today we’ll tell you everything you need to know to pay your mortgage on time.

When Is My First Mortgage Payment Due?

Mortgage payments are usually due on the first of the month, but what about that all-important initial payment? That one is also due on the first, but you might get a little extra time to get your finances together. Here’s some must-know info about the timing of your first payment:

• Your first mortgage payment is usually due 30 days after closing, on the first day of the month. For example, if you close on May 20, your first payment will be due on July 1.
• You won’t save money if there is a long gap between closing and your first mortgage payment. The lender will still collect their interest proceeds at closing.
• In some situations, you can delay your first mortgage payment by an additional month by prepaying interest at closing.
• Unless you prepay interest, your first mortgage payment will be due within 60 days of closing.

Meeting the Deadline: Making Timely Mortgage Payments

Most lenders offer multiple ways to submit your monthly mortgage payment. Borrowers can usually choose from the following options:

• Snail mail: It’s a little outdated, but it works. Send a check or money order to the address specified by your lender. Be aware that your lender might use different addresses for different types of correspondence, so make sure you have the correct destination on your envelope.
• Auto-pay: Go to your lender’s website to get your mortgage payment automatically deducted from your bank account on the due date. Check your account the day before to ensure you have enough funds!
• Online or phone payments: If your mortgage due date snuck up on you, most lenders allow you to make a one-time payment online or over the phone. They might charge a small fee for this service, but it’s better than being delinquent on your mortgage!

Contact Us Today!

Start your homeownership journey on the right path! Contact us at MortgageDepot for an easy-to-understand explanation of when and how to submit your first mortgage payment.

Contact one of our loan consultants for more information.