Congratulations! We have now closed on your purchase or refinance. There are many things you might have to do after closing. Transfer utilities, change exterior locks, a deep clean, move your life from one home to the other, and most importantly open a bottle of champagne and celebrate your closing!

However, there is one extremely important thing that you do not have to do immediately after closing. You do not have to make a mortgage payment. That is awesome! But when do you have to make your 1st mortgage payment?

Great question! At closing, you are going to be paying prepaid interest until the end of the month. This will be calculated in your total cash to close. This covers the amount of interest you would owe the lender for the month of closing.

Mortgage payments are paid in arrears. Meaning that when you are making your June mortgage payment, you are paying for May. Therefore, your first mortgage payment will not be until the second 1st of the month after closing.

So, for example, you close sometime in April. You will not have a May mortgage payment. Your 1st payment will be due June 1st. Technically, you are making your May mortgage payment in June. That pattern will continue throughout the life of the mortgage. 

If you would like to have an experienced mortgage team in your corner, call us at (727) 376-6900. 

NMLS ID: 327290; NMLS ID: 2062741

Equal Housing Opportunity