When Is Your First Mortgage Payment Due?

Your first mortgage payment is typically due on the first day of the second month after your closing date. This means if you close on your home in February, your first payment is due on April 1st.

Why the delay? Mortgage payments are paid in arrears, not in advance. Unlike rent (which is paid before the month begins), your mortgage covers the previous month’s interest.

Example Timeline:

✔ Closing Date: February 15
✔ First Payment Due Date: April 1
✔ March’s Interest Paid at Closing

Why Is There a Gap Before the First Payment?

The gap occurs because mortgage payments cover interest for the prior month (not the upcoming month). At closing, lenders require you to prepay the interest for the remaining days of the month you close.

Breaking It Down:

• If you close early in the month (e.g., February 3), you prepay more interest at closing.
• If you close later in the month (e.g., February 25), you prepay less interest.

Tip: Closing near the end of the month reduces your prepaid interest costs at closing but doesn’t change when your first payment is due.

How to Plan for Your First Mortgage Payment

✅ 1. Know Your Closing Date & Payment Timeline

Check with your lender or mortgage closing documents to confirm the exact due date of your first payment.

✅ 2. Set Up Automatic Payments

Avoid missing payments by enrolling in autopay with your mortgage lender or bank.

✅ 3. Budget for Escrow & Taxes

Your first payment may include property taxes, homeowners insurance, and PMI if applicable. Make sure you budget

accordingly.

✅ 4. Consider Making an Extra Payment Early

Some homeowners choose to make their first mortgage payment early to reduce overall interest costs.

Understanding your first mortgage payment schedule helps you plan financially and avoid any surprises.

Remember:

✔ Mortgage payments are due on the 1st of the month
✔ Your first payment is due the second month after closing
✔ Interest for the closing month is paid at settlement

By knowing what to expect, you can manage your home loan with confidence.