When Will My First Mortgage Payment Be Due?

When securing a mortgage, a common inquiry arises regarding the timing of the initial payment. This question often surfaces as borrowers finalize their home purchase and begin to plan their financial obligations. A mortgage payment typically encompasses both principal, which reduces the loan balance, and interest, which is the cost of borrowing the money.

Understanding the Initial Payment Delay

The first mortgage payment is not typically due immediately after the loan closing date, a practice rooted in how mortgage interest is calculated. Lenders collect “per diem interest,” also known as pre-paid interest, at the closing. This amount covers the interest accrued from the closing date through the very end of that specific calendar month. For instance, if a loan closes on May 15th, the borrower will pay interest for the remaining days of May (May 15th through May 31st) at the time of closing.

This collection of pre-paid interest ensures that the borrower has already covered the interest for the partial month of closing. Consequently, the first full mortgage payment will then cover the principal and interest for the following full calendar month. This initial delay is a standard industry practice, not a grace period, and it prevents the borrower from paying interest twice for the same period. This structure allows for a consistent monthly payment schedule that begins on the first day of a month.

Determining Your First Payment Due Date

The specific date of your loan closing directly influences when your first mortgage payment will be due. Mortgage payments are almost universally due on the first day of the month. The first full payment will cover the interest and principal for the month preceding the due date. For example, if you close your loan on May 5th, you will pay per diem interest for May 5th through May 31st at closing. Your first full mortgage payment will then be due on July 1st, and this payment will cover the principal and interest for the month of June.

This consistent due date on the first of the month simplifies the payment schedule for both borrowers and servicers. The period between closing and the first payment due date gives borrowers time to organize their finances before regular monthly payments commence.

Verifying Your Payment Information

To confirm the exact due date for your first mortgage payment and understand your ongoing payment schedule, several official documents provide this information. The Closing Disclosure (CD) is a comprehensive document provided at least three business days before closing, detailing all loan terms, including the first payment due date and the initial payment amount. Reviewing this document thoroughly is an important step to ensure accuracy.

The Promissory Note, which is the legal agreement to repay the mortgage loan, also specifies the payment terms, including the due date and payment frequency. Additionally, your loan servicer, the company that will collect your monthly payments, will typically send an initial payment coupon or statement. This communication will explicitly state the first payment due date and provide instructions for payment submission. If any uncertainty remains after reviewing these documents, directly contacting your loan servicer is advisable to clarify the exact date and amount.