It is not cheaper or easier to close on the first or last day of the month
Dear Mr. Feichthaler:
I have heard that it is easier to make the closing date on a sale of purchase on the first or last day of the month. This is because taxes, condominium payments and other items are paid monthly. Is this true?
— Zoe H.
When our firm handles the title work and closing on a real estate transaction, we are tasked to be precise. This precision is not only with defining the real estate itself, but also the monies paid in and out for the transaction to be completed. We prorate taxes, condominium and HOA assessments, city utility assessments, rental payments and any other financial items to the actual date of closing. So, whether you choose April 1 or April 18, we will calculate the prorations properly, and precisely, on the settlement statement.
It is not cheaper or easier to close on the first or last day of the month. In fact, due to the many people that do tend to close on the first or last day of the month, people who close on other dates typically find a much more responsive lender, since banks also have many loans for the end of the month. If I were selling my home, I would seek a closing date other than the first or last day of the month.
Eric P. Feichthaler has lived in Cape Coral for over 33 years and graduated from Mariner High School in Cape Coral. After completing law school at Georgetown University in Washington, D.C., he returned to Southwest Florida to practice law and raise a family. He served as mayor of Cape Coral from 2005-2008, and continues his service to the community through the Cape Coral Caring Center, Cape Coral Historical Museum, and Cape Coral Kiwanis. He has been married to his wife, Mary, for over 20 years, and they have four children together. He earned his board certification in Real Estate Law from the Florida Bar. He is AV Preeminent rated by Martindale-Hubbell for professional ethics and legal ability, and is a Supreme Court Certified Circuit Civil Mediator.
Mr. Feichthaler can be reached at firstname.lastname@example.org, or (239) 542-4733.
This article is general in nature and not intended as legal advice to anyone. Individuals should seek legal counsel before acting on any matter of legal rights and obligations.