It’s that time of year when you may be receiving annual property assessments, offering you a preview of what your tax bill may look like this fall. Even though you owe property taxes, there’s a good chance you won’t have to write a check. That’s because if you have a mortgage, your escrow account will take care of it for you.
Struggling to remember exactly what your escrow account is? It’s understandable. There are a lot of confusing terms homebuyers deal with when completing a purchase. Things like amortization, points, and of course, escrow. So what exactly is escrow? This video clears up some of the confusion. It describes the basics of escrow, how it helps you, and why your escrow payment may change several times over the life of your loan.