Does Fannie/Freddie require escrow on investment property

Rochester, NY · Member since 2017 · 31 posts · 6 votes

I've been told that i have to escrow taxes/insurance because i'm buying an investment property...and fannie/freddie require it. is that true?

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Investor · Atlanta, GA · Member since 2013 · 3k+ posts · 3k+ votes

Personally, I like escrow. Then I don't have to worry about the yearly big chunk of taxes and insurance, but rather pay a little more each month.

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Chris MasonPro Member
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Lender · CA · Member since 2015 · 9k+ posts · 10k+ votes
8y
Originally posted by @Account Closed:

I've been told that i have to escrow taxes/insurance because i'm buying an investment property...and fannie/freddie require it. is that true?
Assuming you are making the normal investment property down payment, no this shouldn't be required, barring overlays.
The LLPA is 0.125 discount points.
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Matt K.
Walnut Creek, CA · Member since 2015 · 3k+ posts · 2k+ votes
8y
I just did a cash out refi on SFH and conventional on a duplex and I didn't have to on either loan.
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Melvin ListBusiness Member
Lender · Tampa, FL · Member since 2016 · 1k+ posts · 381 votes
8y
@Account Closed No you can waive escrows on an investment property!
C2 Financial
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Michaela G.
Investor · Atlanta, GA · Member since 2013 · 3k+ posts · 3k+ votes
8y
Personally, I like escrow. Then I don't have to worry about the yearly big chunk of taxes and insurance, but rather pay a little more each month.
1 Reply
Ned CareyPro Member
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Investor · Baltimore, MD · Member since 2008 · 17k+ posts · 13k+ votes
8y
@Account Closed why wouldn't you want that?
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