If escrowing borrower choses Option 1 or 2 on the taxes and the bill is being paid at time of closing, how does your system show taxes on the initial taxes and insurance document and the first payment letter?
Ours is putting $0 on both because the next payment is due outside the 12 months shown on the T&I disclosure.
So the borrower is being told they're going to be 25% short at the time of escrow analysis in February. (payment shock)
This can't be right, can it?