Why Your First Mortgage Payment Might Be Higher Than Expected

Buying your first home is exciting, but it also comes with plenty of new things to wrap your head around. One of the most common questions we hear from first-time buyers is: “What will my first mortgage payment look like?”

The short answer is that your first payment can sometimes be higher than your regular monthly payments. Let’s break down why that happens and what you need to prepare for.

Why is the First Mortgage Payment Different?

When your mortgage lender releases the funds to your solicitor, interest starts building straight away. Your first payment will usually cover:

• The interest from the day your mortgage begins up to the end of that month, plus
• Your full mortgage payment for the following month.

That’s why it’s often a bit higher than the payments you’ll make afterwards.

Example: How it works

Say your mortgage completes on 12 May.

• You’ll be charged interest from 12–31 May.
• Your first mortgage payment in June will then include that interest, plus your usual monthly mortgage payment for June.

After that, your payments should settle into a regular monthly rhythm.

How Do I Know the Amount and Date?

Your lender will write to you after completion confirming: The exact amount of your first payment, the date it will be taken and what your ongoing monthly payments will be. It’s really important to read this carefully so you’re not caught off guard.

Planning Ahead

To avoid surprises, keep a little extra aside in your moving budget. That way, if your first mortgage payment is larger than expected, you’ll be covered.

If you’re worried about affordability or want to double-check the numbers, we can go through them with you before completion.