That letter saying your mortgage payment went up isn't a scam and it isn't a mistake — it's an escrow shortage, and you've got way more options than the one your servicer leads with. I put the whole playbook in a free 2-page guide. Grab it. 👇
Print it, screenshot it, bring it to the phone when you call your servicer. It's got the exact options, the word-for-word scripts, and a checklist so you don't get talked into the first thing they offer. Drop your info and it's yours instantly — plus I'll send a few helpful tips along the way.
Each month, your lender collects money to cover your property taxes and homeowner's insurance. If those costs increased — and your payment didn't adjust in time — your escrow account ran short. Your servicer covered the gap, and now they're billing you to pay it back. By default, they want it repaid in 12 months. That's why your payment jumped.
This is especially common on new-construction homes, where initial payments are based on estimated taxes that exclude special assessments and the updated tax bill tied to your actual purchase price.
Your servicer will offer one path by default. You are not required to take it. Here are the three most common choices:
Write a check for the full shortage upfront. Your payment still adjusts for the higher taxes, but you eliminate the 12-month surcharge.
The servicer splits the shortage across 12 added monthly payments. This is their default offer — but you are not required to accept it.
Request 24–36 months, or a backend deferral that rolls the shortage to your loan's end. Many servicers allow this — you just have to ask.
Call the number on your escrow analysis letter. Use these phrases word for word:
"I received my escrow analysis and I'd like to discuss my repayment options for the shortage."
"Can I request an extended repayment term beyond 12 months to reduce the monthly impact?"
"Is there an option to add the shortage to the back end of my loan — similar to a loan modification?"
"What is the maximum repayment term available for escrow shortage repayment?"
"Can you send me the details of any extended plan options in writing before I agree to anything?"
If the first rep says no, ask for a supervisor or the loss-mitigation department. Always request any agreement in writing before ending the call.
If your rate is above 6.5%, refinancing could lower your monthly payment enough to offset the shortage and then some. Some homeowners end up paying less per month after a refi than they did before the shortage hit.
Or text SHORTAGE to (323) 313-8761 · tpelayo@emortgagecapital.com
Tell me where to send it — your download starts the second you submit.
