An escrow account refers to an account held in the name of the borrower which is returnable to the borrower on the performance of certain conditions.
This form is a generic example that may be referred to when preparing such a form for your particular state. It is for illustrative purposes only. Local laws should be consulted to determine any specific requirements for such a form in a particular jurisdiction.
The New Hampshire Agreement for Direct Payment of Taxes, Assessments, and/or Insurance and Waiver of Escrow to be held by Lender is a legal document that outlines the terms and conditions for a borrower to directly pay their property taxes, assessments, and/or insurance premiums instead of having them held in an escrow account by the lender. Key Details of the Agreement: 1. Purpose: The main purpose of this agreement is to provide an option for borrowers to manage their property-related expenses directly, rather than having them included in their monthly mortgage payments. 2. Property Taxes: The agreement allows borrowers to make direct payments for their property taxes to the respective tax authorities. By doing so, borrowers take on the responsibility for timely and accurate payment. 3. Assessments: If the property is subject to special assessments, such as those for infrastructure improvements or community development projects, the borrower agrees to pay them directly without involving the lender. 4. Insurance Premiums: Borrowers can also choose to pay their hazard insurance premiums directly to the insurance provider instead of having them included in their escrow account. However, the lender may require proof of insurance and review the coverage periodically. 5. Waiver of Escrow: By entering into this agreement, the borrower waives the requirement for the lender to hold funds in an escrow account for the payment of taxes, assessments, and insurance premiums. This means that the borrower assumes full responsibility for managing these payments. Different Types of New Hampshire Agreement for Direct Payment of Taxes, Assessments, and/or Insurance and Waiver of Escrow: 1. Residential Property Agreement: This type of agreement is specifically tailored for residential properties, such as single-family homes or condominiums. 2. Commercial Property Agreement: Designed for commercial properties like office buildings, retail spaces, or industrial complexes, this agreement addresses the unique requirements of commercial property owners. 3. Mixed-Use Property Agreement: Suitable for properties that combine residential and commercial elements, this agreement accounts for the diverse needs and payment obligations of mixed-use developments. 4. Vacation Property Agreement: This type of agreement caters to individuals who own vacation homes or rental properties used for recreational purposes. In conclusion, the New Hampshire Agreement for Direct Payment of Taxes, Assessments, and/or Insurance and Waiver of Escrow to be held by Lender provides borrowers with the opportunity to manage their property-related expenses directly. Whether it concerns residential, commercial, mixed-use, or vacation properties, these agreements allow borrowers to take an active role in handling their tax, assessment, and insurance payment responsibilities, ensuring timely and accurate transactions.
