How the closing date affects the first mortgage payment

Picking a closing date will affect how much breathing room the buyer will get before having to start making mortgage payments. The first mortgage payment isn’t due until the first day of the month following the 30-day period after the closing. For example, if the closing takes place October 1st, the home buyer will make the first mortgage payment on December 1st, allowing the buyer to have 60 days prior to making the first mortgage payment.  However, if the closing were to take place on September 30th instead of October 1st, the new payment date would be November 1st, giving the buyer only 32 days before having to make the first mortgage payment. Therefore, changing the closing just one day, could mean a big financial difference for the buyer. After shelling out all those closing costs, the buyer will thankful for the extra wiggle room before it’s time to start making mortgage payments.

Remember: When in doubt always ask an expert for their professional opinion. Call me with any questions you may have.