Code of Massachusetts Regulations
761 CMR - MASSACHUSETTS HOME MORTGAGE FINANCE AGENCY
Title 761 CMR 21.00 - Seller's Guide
Section 21.18 - Escrow Payment Requirements

Universal Citation: 761 MA Code of Regs 761.21
Current through Register 1531, September 27, 2024

Each Mortgage Loan shall provide for the monthly collection of Escrow Payments to the maximum extent permitted (except that the collection of Escrow Payments for hazard insurance premiums is not required) by the Real Estate Settlement Procedures Act, as amended, along with the monthly installment of interest and principal. The Escrow Payments shall be held in trust for the benefit of Borrower, Seller and MHMFA, in an account in a bank or trust company, savings bank, national banking association, savings and loan association, cooperative bank, or credit union (which may be the Seller) insured to the fullest extent legally possible.

In the case of default of any Escrow Payment due, the Mortgage Loan shall provide that, with or without notice or demand of the Borrower, the Seller shall pay the amount due on property taxes, mortgage insurance premiums, or other applicable assessments. Such payments shall be a lien on the mortgaged property added to the amount of the Mortgage Loan and payable on demand with interest (at the rate applicable under the Mortgage Loan) from the time of payment.

Disclaimer: These regulations may not be the most recent version. Massachusetts may have more current or accurate information. We make no warranties or guarantees about the accuracy, completeness, or adequacy of the information contained on this site or the information linked to on the state site. Please check official sources.
This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.