What Is the Loan Maturity Date for a Home Loan?
Every mortgage financing agreement outlines terms and conditions including the loan maturity date, which is the date when your loan principal must be paid in full. With most mortgage agreements, the loan maturity date represents your final payment to your lender.
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Your Contract
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You can find your maturity date by looking for a section in your contract titled "equity of redemption."
Loan Calculator
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If you are shopping for a mortgage, determine the maturity date by using a calculator. Enter the starting date for your first payment and the amortization length of the loan -- the number of years you will be paying your mortgage. The latest date on the amortization table is your final payment.
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Balloon Mortgages
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Under a balloon mortgage, a lump sum amount is due when the loan maturity date arrives. Most homeowners choose to refinance what is owed instead of making one very large final payment.
Extensions
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On occasion, your lender may extend the maturity date if the you have trouble making payments. Your lender may add missed payments to the end of your mortgage term, effectively changing your loan maturity date.
Pay Off
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If you are ready to pay off your mortgage early, contact your lender for the payoff amount. Your lender should make allowances for interest to accrue until the balance has been recorded as paid in full.
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