What is interest proration?

[JR]

I am looking to buy a new home and as part of the payment
spreadsheet is a value called Interest Proration. Seems to
fluctuate greatly based on how much I put down however am
unsure of what it is or how it's calculated. Any help would
be appreciated.

Thanks.

JR

 

[Seth Breidbart]

I am looking to buy a new home and as part of the payment
spreadsheet is a value called Interest Proration. Seems to
fluctuate greatly based on how much I put down however am
unsure of what it is or how it's calculated. Any help would
be appreciated.

Mortgage payments are generally due on the first of the
month. Mortgages run for a whole number of months. Closings
can occur any time during a month. I suspect that amount
represents the interest between the closing date and the
first of the next month.

Seth