After Your FHA Home Loan Closes
May 30, 2024
What do borrowers need to know about life after mortgage closing? There are a few standard things borrowers are typically better informed about toward the end of the home loan process than at the beginning.
What to expect after closing day is one of those topics. Here’s what you need to know.
Mortgage Statements
Your mortgage statement will be delivered to you as agreed to and listed in writing in your purchase contract or similar paperwork. Not all home loans have the same terms and conditions so be sure to review your contract carefully.
Assuming your mortgage payment notification automatically comes to you electronically or by U.S. Mail is a mistake. Find out what your contract says and if you need an alternative option, ask the loan officer before closing time.
Your mortgage statement should include charges, due date, interest rate, and be sure to check your statement for notification of problems like late fees or other situational issues.
If there was a mistake in processing your payment this may be the first warning you get depending on circumstances.
Mortgage Payment Books
Some home loans may include a payment book, and in some cases that book may replace the monthly statement. Ask your lender if you aren’t sure.
The Consumer Financial Protection Bureau (CFPB) notes that not all home loans will include a payment book, and if you have a preferred method of notification talk to your loan officer.
Payment books may not be as detailed as the monthly statements some get from the lender, but in both cases, payments must be made before the date listed on the statement or payment book.
CFPB advises setting up an automatic payment no matter what kind of notification you receive about your monthly mortgage.
What Goes into Your Monthly Mortgage Payment?
CFPB notes that principal and interest payments are the main portions of your monthly obligation.
However, other costs affect your mortgage budget each month. These can include a mortgage insurance premium, homeowner association dues, and applicable hazard insurance.
You may also have to set aside money for property taxes, which may require you to pay via escrow. Ask your FHA loan officer for more information on this aspect of your home loan.
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RELATED VIDEOS:
You're Almost There When You Get Your Loan Approval
Learn About the Mortgage Insurance Premium (MIP)
Pre-approval Starts the Mortgage Process
What to expect after closing day is one of those topics. Here’s what you need to know.
Mortgage Statements
Your mortgage statement will be delivered to you as agreed to and listed in writing in your purchase contract or similar paperwork. Not all home loans have the same terms and conditions so be sure to review your contract carefully.
Assuming your mortgage payment notification automatically comes to you electronically or by U.S. Mail is a mistake. Find out what your contract says and if you need an alternative option, ask the loan officer before closing time.
Your mortgage statement should include charges, due date, interest rate, and be sure to check your statement for notification of problems like late fees or other situational issues.
If there was a mistake in processing your payment this may be the first warning you get depending on circumstances.
Mortgage Payment Books
Some home loans may include a payment book, and in some cases that book may replace the monthly statement. Ask your lender if you aren’t sure.
The Consumer Financial Protection Bureau (CFPB) notes that not all home loans will include a payment book, and if you have a preferred method of notification talk to your loan officer.
Payment books may not be as detailed as the monthly statements some get from the lender, but in both cases, payments must be made before the date listed on the statement or payment book.
CFPB advises setting up an automatic payment no matter what kind of notification you receive about your monthly mortgage.
What Goes into Your Monthly Mortgage Payment?
CFPB notes that principal and interest payments are the main portions of your monthly obligation.
However, other costs affect your mortgage budget each month. These can include a mortgage insurance premium, homeowner association dues, and applicable hazard insurance.
You may also have to set aside money for property taxes, which may require you to pay via escrow. Ask your FHA loan officer for more information on this aspect of your home loan.
------------------------------
RELATED VIDEOS:
You're Almost There When You Get Your Loan Approval
Learn About the Mortgage Insurance Premium (MIP)
Pre-approval Starts the Mortgage Process
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