A L.O. explained this to a friend of mine..

Question: If my mortgage is due on 1/1/08, does that mean the mortgage is pay for January 2008?

Answer: No, If you mortgage is due on 1/1/08, that means you pay for your 12/2007 mortgage payment (12/01/2007-12/31/2007).

REally? So if this L.O. is my landlord.. can I skip rent? ;)

There are variouis types of mortgage, some apply payments to previous months but almost all apply to the next coming month.

So this applies to the person who is purchasing and their specific loan document.

So to be sure what is the case for that speicfic properly one has to read the terms of their loan.

But of course if you are a renter, this has no bearing on your relationship to the landlord. In those cases your written or verbal rental agreement applies, rent is normally paid for in advance.

Fr_Chuck... I couldn't have said it better myself. I guess every once in a while we agree on mortgage do's and do not's...

Mortgage interest is always paid in arrears, whereas rent is paid in advance. This means that the January mortgage payment pays interest for December, and the January rent payment pays rent for January. The only time that mortgage interest is paid in advance is when you close on a new mortgage. If you close on January 15, the first mortgage payment will be due March 1, and will pay interest for the month of February. At close, the borrower will prepay the interest from January 15 to the end of that month.

Dr D is exactly right. However, as Fr_Chuck stated, that does not give the OP the right to pay rent in arrears merely because the landlord pays the mortgage in arrears. Rent is still required to be paid in advance unless the lease specifically states otherwise.

Quote:

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Originally Posted by Fr_Chuck

There are variouis types of mortage, some apply payments to previous months but almost all apply to the next comming month.

So this applies to the person who is purchasing and thier specific loan document.

So to be sure what is the case for that speicfic properly one has to read the terms of thier loan.

But of course if you are a renter, this has no bearing on your relationship to the landlord. in those cases your written or verbal rental agreement applies, rent is normally paid for in advance.

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Interesting..
So on a traditional 30yr Fixed PITI Refi
Lender allows me to pay after the month.