You are allowed to set payment schedules based on seasonal income. Escrow will still need to be collected on a monthly basis as RESPA only allows no more than the following:
Throughout the life of an escrow account, the servicer may charge the borrower a monthly sum equal to one-twelfth (1/12) of the total annual escrow payments which the servicer reasonably anticipates paying from the account. In addition, the servicer may add an amount to maintain a cushion no greater than one-sixth (1/6) of the estimated total annual payments from the account. However, if a servicer determines through an escrow account analysis that there is a shortage or deficiency, the servicer may require the borrower to pay additional deposits to make up the shortage or eliminate the deficiency, subject to the limitations set forth in ยง1024.17(f).
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James M. Moore, CRCM
My postings are not legal advice and may not be endorsed by my employer.