Legal Question in Real Estate Law in North Carolina

We bought our house on April 15, 2009. Our first lender, Lender "A", estimated our property taxes, which are due 8/31/09, based on last years taxes. Last year, the property tax was $1131.45. Lender "B" then bought our loan. In Lender B's Annual Escrow Account Disclosure statement, prepared 7/22/09, they show an actual county tax of $2068.56 for this year, and then uses that same amount for taxes for 2010. Our actual property taxes, as shown on the bill from the county, are $1183.86. At least two phone calls to Lender B and several faxes with the correct tax amount have yielded zero results. No calls back, no letters, nothing. The loan officer who got our original house loan with Lender A has even tried, calling and faxing, to no avail. We started this process the first part of August, with the first fax to Lender B with a copy of the printout from the county with the correct tax amount sent on 8/4/2009. Lender B is raising our mortgage payment from $1290.56 to $1471.02 as of September 1, 2009. We tried to get this resolved well in advance of the due date, as I do not want to pay almost $200 more a month for something we don't owe. Also, if this does get resolved in our favor, which I hope it will, I imagine it will be like pulling teeth to get our money back. I have drafted a letter of dispute, on the advice of our original loan officer, and will be faxing and sending it certified mail.

I would like to know what other legal rights we have. Do we have to pay the raised mortgage on September 1? Lender B's billing statement says "no partial payments accepted." Can a mortgage company just estimate county taxes like that? No one at the mortgage company could tell me where they came up with their county tax amount, acting as though they had a copy of the bill. Is there anything else I can do? Any advice would be greatly appreciated. Also, given the circumstances, is there any way to get another mortgage company to service our loan short of refinancing? We got a VA loan, in case that information is relevant.


Asked on 8/25/09, 9:42 am

1 Answer from Attorneys
Jeff Rosner Rosner Law Firm P.A.

First you should be able to pull a copy of your 2009 bill online in most counties.

This advice comes from the HUD website:

What steps should I take if I think the lender is requiring too much money in my escrow account?

First, figure out the maximum amount RESPA allows to be required in your escrow account from the example. If you still believe your lender is requiring too much money, you should contact your lender for an explanation.

Section 6 of RESPA provides that borrowers may make a "qualified written request" to the lender concerning the servicing of their loan account. The request should not be included with the monthly mortgage payment. The lender must acknowledge the complaint within 20 business days and must resolve the complaint within 60 business days by correcting the account or giving a statement of the reasons for its position. If you do not get a satisfactory answer from the lender, you may wish to file a complaint with HUD. You should continue to make your mortgage payment during this time.

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Answered on 8/25/09, 3:10 pm


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