Thinking about buying a home this month? Here's a little-known benefit of timing:

If you go under contract in mid-November and close in mid-December, your first mortgage payment likely won't be due until...February 1st!

Here's why:

At closing in December, you'll pay the interest for the remainder of that month as part of your closing costs. 

Then, no mortgage payment is due in January. Instead, interest builds up during January.

Your first actual payment (covering January's interest) is due February 1st.

Is This a Year-End Perk?

Not exactly-- it's true any time of year. Mortgage interest is paid in arrears, and your first payment is always due on the first of the second month after closing.

Contract Nov 15... Close Dec 15... First Payment Feb 1

Contract Dec 15... Close Jan 15... First Payment Mar 1

You get the idea.

So while buying in late fall doesn't eliminate your costs, it does delay when your regular mortgage payments begin -- which can offer a helpful cushion during the holidays or as you settle into your new home.