Why Did My Mortgage Payment Increase in Texas? Understanding Escrow, Taxes & Insurance

​Has your mortgage payment gone up in Texas?

​Learn how rising property taxes and insurance premiums affect your escrow — and how Corin Insurance Group can help.

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If your mortgage payment in Texas has increased compared to last year, you're not alone. Many homeowners are experiencing higher monthly payments due to changes in property taxes, homeowners insurance premiums, and escrow account adjustments. Let's break down the components of a typical mortgage payment and explore how these factors can contribute to an increase.
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Understanding Your Mortgage Payment: PITI

A standard mortgage payment consists of four main components, commonly referred to as PITI:

1. Principal: The portion of your payment that reduces the original loan balance.
2. Interest: The cost of borrowing money from your lender.
3. Taxes: Property taxes assessed by your local government.
4. Insurance: Homeowners insurance premiums that protect against damages or losses.wellsfargo.com+1Experian Credit Report+1Investopedia+1wellsfargo.com+1

In many cases, lenders require an escrow account to manage the payment of property taxes and insurance premiums. Each month, a portion of your mortgage payment is deposited into this account, and the lender uses these funds to pay your taxes and insurance when they're due. If your property taxes or insurance premiums increase, your lender will adjust your escrow payments accordingly, leading to a higher monthly mortgage payment. Wikipedia+6SouthPoint Home Mortgage+6Investopedia+6wellsfargo.com+2Mountain Home Air Force Base+2SouthPoint Home Mortgage+2Texas Tax Protest
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Factors Leading to Increased Mortgage Payments

Several factors can cause your mortgage payment to rise:
· Escrow Shortages: If your escrow account doesn't have enough funds to cover increased taxes or insurance premiums, your lender may increase your monthly payment to make up the shortfall. Consumer Financial Protection Bureau
· Property Tax Increases: Texas has seen significant property value appreciation, leading to higher property tax assessments. This increase directly impacts the tax portion of your mortgage payment. The US Sun
· Rising Homeowners Insurance Premiums: Factors such as increased construction costs and a higher frequency of natural disasters have led to rising insurance premiums in Texas. New York Post
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How Corin Insurance Group Can Help
Managing the insurance component of your mortgage payment is crucial in controlling overall costs. At Corin Insurance Group, LLC, we specialize in helping homeowners find the most competitive insurance rates by partnering with a diverse range of carriers.

Our partners include:
· Safeco: Offers customizable coverage options and discounts for bundling policies.
· Allstate: Known for comprehensive coverage and excellent customer service.
· Progressive: Provides competitive rates and a user-friendly digital experience.
· Foremost: Specializes in coverage for unique or high-risk properties.
· ASI Lloyds: Provides robust coverage options tailored to Texas homeowners.
·And More!

By comparing quotes from these and other carriers, we can help you find a homeowners insurance policy that fits your needs and budget, potentially reducing your monthly mortgage payment. Our goal is to ensure you're not overpaying for insurance, which can have a significant impact on your escrow account and overall mortgage costs.
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If you're experiencing an increase in your mortgage payment and want to explore ways to manage or reduce your insurance costs, contact Corin Insurance Group today. Our experienced agents are here to help you navigate the complexities of homeowners insurance and find the best solutions for your situation.