Has your mortgage payment gone up recently? If you don’t know why, this might be the reason
Are you curious why your mortgage payment is going up this time of year? Today I’m joined by Melanie Taliaferro to help shed some light on this subject.
According to her, it’s important to remember that property taxes change every year, especially in the Austin area with values increasing as they are. That amount gets paid at the end of each year. When it’s paid out, there may or may not be enough money in your escrow account to cover it. Once it is paid, the mortgage company may realize there’s not enough money to pay the bill. They then have to increase the monthly payment in order to cover the deficit.
Because you just paid taxes for a property you lived in the whole year, there’s a shortage that needs to be covered in addition to what has to be planned for the following year. That can almost result a double increase for some people. The best thing you can do is take your most recent mortgage statement and send it to a mortgage professional so they can help you decode it.
Also, pay special attention to your county value assessment, which you’ll typically receive in April or May. That will tell you what your projected taxable value on your property is for that year. That’s something a mortgage professional can look at and adjust your payment proactively if it needs to be increased.
This can be a frustrating topic, so if you have any more concerns, you can reach Melanie by phone at (512) 400-0342 or email her at Melanie@thetaliaferroteam.com.
If you have any other questions, please feel free to reach out to me. I’d be happy to help!