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Mortgage Payment
(by Vito [NC])
Mar 4, 2003 6:28 PM
RE:
Mortgage Payment
(by ALDO [WI])
Mar 4, 2003 10:01 PM
RE:
Mortgage Payment
(by Dave [IL])
Mar 4, 2003 10:21 PM
RE:
Mortgage Payment
(by Steven [NC])
Mar 5, 2003 3:39 AM
RE:
Mortgage Payment
(by tyler [nc])
Mar 5, 2003 5:22 AM
RE:
Mortgage Payment
(by Vito [NC])
Mar 5, 2003 7:02 AM
RE:
Mortgage Payment
(by DIXIE [KS])
Mar 30, 2003 7:32 PM
RE:
Mortgage Payment
(by Dave [IL])
Mar 30, 2003 9:12 PM
RE:
Mortgage Payment
(by Tom [IN])
Mar 30, 2003 9:16 PM
RE:
Mortgage Payment
(by . [.])
Mar 31, 2003 4:13 AM
RE:
Mortgage Payment
(by DIXIE [KS])
Mar 31, 2003 10:18 AM
RE:
Mortgage Payment
(by JJ [CA])
Mar 31, 2003 11:05 AM
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I had a discussion with a home seller if a mortgage payment covers the month ahead like a rent or behind. Example: will a mortgage payment made on March 1 cover March or February? Please include sources for your reply to make it more credible to the home seller. Thank you. --65.141.214.146 |
| Mortgage payments are generally made in advance. Sources!?!? Is this a term paper or just a test? I highly doubt that your seller will call my bank in WI when the same answer can be had from any bank in your area. --24.209.114.250 |
| Wow, this is very rare, but I have to disagree with Aldo. While rent payments are made in advance, mortgage payments are made in arrears. When you make a payment March first you are paying all interest accrued since the last payment was made February first, plus some of the principle. Interest immediately begins to grow again and will be paid the first of the next month along with a little more of the principle. I believe this is payment in arrears since the interest accumulates and is owed to the bank but not yet paid. --32.103.99.87 |
| I'm a comercial banker (don't do conventional mortgages) and have to agree with Dave. Otherwise, the first payment would be due at the closing table. --63.188.129.163 |
| Dave's correct on this one. --206.212.89.240 |
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Thanks, guys. I appreciate your responses. Vito --65.143.219.16 |
|
It's interesting that so many say that the mortgage payment is made in arrears. Every time I have closed on a property, the banker asks when I want the first payment to start and he adjusts the "amount due" at the closing table to reflect that payment date I selected, so I have to agree with ALDO on this one. At least in my case, I know I am paying the first payment at the closing table, as Steven [NC} stated. And my source is my local banker. --216.236.17.163 |
| I bet you are paying prorated interest Dixie. If you close on the 10th of the month and the morgage is due on the 1st, you pay interest from the 10th to the 1st at the closing table. Then on the first you do not make a payment. The first of the following month, 50 days +/- after closing, you make the first payment. That payment is interest since the first of the prior month and some principle. You are paying in arrears just like everyone else. I have never seen it any other way. --32.103.99.86 |
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Dave is right. Aldo is seldom wrong, but this is one of those rare times. --205.188.209.136 |
| --152.163.189.136 |
| Thanks, Dave. That makes sense. --64.66.95.14 |
| This one I know. At escrow, buyer will prepay first month's interest. Then buyer (after closing) won't have a payment for anywhere from 45 to 60 days. The first real mortgage payment will be interest in arrears. --206.78.69.18 |