Had a good year financially, so about to pay off our only debt, the $170,000 balance on our mortgage. We live on the coast, so homeowners insurance, wind insurance, flood insurance and of course property taxes are all collected and paid through the bank’s escrow.
Has anyone here paid off their mortgage and started paying these items separately? With the exception of property taxes which are a requirement, did you keep the insurances in place or did you dropped any? Currently $795.40 per month, or $9,544.80 per year, of my payments go into the escrow. Presumably the bank will refund any remainder held in escrow after they receive the payoff, so I can use that to seed the account to pay these items.
Any experienced pointers on the mortgage payoff process?
Thanks.
Has anyone here paid off their mortgage and started paying these items separately? With the exception of property taxes which are a requirement, did you keep the insurances in place or did you dropped any? Currently $795.40 per month, or $9,544.80 per year, of my payments go into the escrow. Presumably the bank will refund any remainder held in escrow after they receive the payoff, so I can use that to seed the account to pay these items.
Any experienced pointers on the mortgage payoff process?
Thanks.