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Impound Accounts

Currently getting a new mortgage for a rental property, I have never had an impound account before and own a number of properties in California.  I am being told that if I do not get an impound account there will be an additional 1/4 point paid by me for the risk the lender will be taking (what a joke).  If I set up an impound account can I cancel it in a month and get the money in the account back and not pay any penalties?  Has anyone else avoided this junk fee any other way?
  • October 01 2012 - Las Vegas
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Answers (2)

Ryan I have not seen anyone get around the impound account. I have had investors choose to pay their taxes and not have an impound account but they choose that up front. I agree you should be able to pay your taxes separately without penalty. [deleted by Zillow moderator. Please see our Good Neighbor Policy.]
  • October 01 2012
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What is going to be the loan to value?
  • October 01 2012
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