Seller Financing Taxes?

[Greg M.]

Hello all,

  I am looking to have my next deal as the seller holding the combined note on two multi properties of his.  My question is how would I manage the taxes and insurance?  My current property has it all rolled into one payment through a bank with a traditional loan.  For seller financing I am guessing I will have to set up a new escrow account to hold 1/12th the taxes every month and then pay when the bill comes, and pay the insurance monthly etc?  Seems a bit of a pain but is that the way to do it, or am I missing something?

Thank you!