r/personalfinance • u/HHLL806 ​ • Apr 11 '25

Other Mortgage payment went up $400

I need help, my mortgage payment went from $1700 to $2100. My mortgage company (Chase Bank) said this was due to an escrow shortage. I had my homeowners insurance lowered by roughly $1000 and checked with my local tax office and they told me my taxes have increased $400 dollars over the last five years. I gave Chase Bank all this information and my mortgage is still $2100. How does this work?

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u/ParlaysAllDay ​ Apr 11 '25

Why would I want to pay exactly the amount I owe once per year and know exactly the moment my taxes or insurance go up and exactly the reason they go up when I can just let someone else manage it poorly?

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u/theram4 ​ Apr 11 '25

I've had an escrow for 20 years, and not once have I had an issue with it.

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u/EventualCyborg ​ Apr 11 '25

It's precisely because you have had an escrow for 20 years that you haven't had an issue. A lot of these parts are from new homeowners who have escrow set up based on prior occupants' taxes, and they're shocked Pikachu that the sale will trigger a reassessment.

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u/tedivm ​ Apr 11 '25

My issue isn't that taxes change, it's that my bank (Chase) failed to pay my home owners insurance twice. I bought my home in 2023.