I received a letter today that our mortgage payment for the rental property will be increasing from $312/month to $394/month starting in April. Yuck! It's due to a shortage in our escrow account.
This is how this will affect our rental budget.
Rent Check: $825
March Budget April Budget
$312 Mortgage Payment $394 Mortgage Payment
$110 Condo Association $110 Condo Association
$60 Bowling $60 Bowling
$100 Home Repair $100 Home Repair
$50 Water $50 Water
$75 My Savings $50 My Savings
$75 Mr. R Savings $50 Mr. R Savings
$43 Condo Insurance $11 Condo Insurance(saving annual premium)
(savings for annual premium)
I just had my mortgage increase due to the shortage in escrow. I just paid this difference. I wrote a check for 149 dollars this morning. I get this notice every two years, and it's been 12 years since I bought the house. I had one year when we had a decrease in the mortgage, but that was back in the beginning of the process. Is the increase going to affect the rent that you charge?
ReplyDeleteIt won't be affecting the rent we are charging. The rent we charge is already on the high side for our area so I couldn't increasing it. We'll just see less profit now.
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