WELCOME TO EUSTIS MORTGAGE

Our Closing Q&A provides you with additional information surrounding the post close process.

I’m receiving mail that looks like it’s from you, but appears to be soliciting some other business. Be very diligent in your review of what appears to be junk mail, as it likely is. Your mortgage gets recorded publicly, so anyone can access that public data and they also can use our name in the mailer, although we have nothing to do with the company in question. If you do not see our logo or our address or phone number on the mailer in question, it’s likely not from us. Give us a call if you ever feel uncertain #833-269-2544; PO Box 52371 New Orleans, LA 70152

Where do I make my first payment? You can make your first payment by phone, free of charge #833-269-2544 or mail a check or money order to PO Box 52371 New Orleans, LA 70152. Often you will make your first payment to us, however, you will receive a Notice of Servicing Transfer if you should make your first payment to a New Servicer.

I mailed a payment before receiving my Notice of Servicing Transfer letter informing me to pay the new servicer, do you cash my payment? Once your payment is received, we will forward the payment on your behalf to the new servicer. During the first 60 days after the effective date of transfer, your new Servicer will not charge you a late fee and will not report your account as late to credit reporting agencies, if you made your payments on time to Eustis Mortgage.

Can I sign up for AutoPay, bi-weekly or paperless statements? We do not currently offer any of these services. However, once your loan is transferred to a long-term servicer, you can set up these options directly with them.

Do I need to apply for a homestead exemption to lower my tax bill? Please make sure to check your individual county/parish assessor site for information regarding your application for a homestead exemption. If you occupy your home as a primary residence, you may qualify for a homestead exemption. It’s very important to complete this process if your escrow account is utilizing a tax bill estimate including a homestead exemption, otherwise your escrow account will require an adjustment to increase the payments at the time your tax bill is due at the larger amount without an exemption applied. Most assessors’ offices require you to apply to receive the exemption, some require a yearly renewal whereas others it’s a one-time application. Typically, you are required to bring documentation from your closing showing you own the property and some personal information to complete the application process.

What is PITI in relation to my loan payment? PITI refers to the principal, interest, taxes, and insurance that can all be a part of your combined mortgage payment.

Principal – the portion of your payment that reduces that mortgage balance owed.

Interest – the portion of your payment that reflects the cost of the mortgage amount that you borrowed.

Taxes – the property tax associated with your home. The annual amount will be divided by 12 months which reflect in your monthly escrow payment.

Insurance – this can represent homeowner’s insurance, flood insurance, and mortgage insurance. The annual amount will be divided by 12 months which reflect in your monthly escrow payment. Both flood and MI may not be required for all loans

What is an escrow account and am I required to have one? An escrow account can be part of your mortgage payment and is set up to collect the funds needed to pay your tax and insurance premiums each year. Most mortgage loans require an escrow account to be set up at closing. There are options on certain mortgage loans, based on the amount of equity in the property, that allow you to waive the monthly escrow option, but the borrower is expected to pay the taxes and insurance annually on their own.

What is an escrow analysis? Each year, the servicer of your loan may adjust the monthly escrow amount that you pay based on the most current annual premiums. If your taxes and/or insurance increase, then you will most likely see an increase in your monthly escrow payment.

What is Mortgage Insurance? This type of insurance protects lenders or investors for losses caused by a mortgage that default. Some mortgage insurance premiums are paid up front on a loan, some are paid as a portion of the PITI on a mortgage- and some are included in the life of the loan. There are some loans that do not require mortgage insurance based on the amount of down payment or equity.

What is Title insurance? The title to your property gives you the legal right of ownership. Owner’s Title insurance protects you from any issues or title defects that might occur thus affecting your legal right of ownership. If you have a mortgage on your property, your lender will require a Lender’s title policy to protect them from any title defects.

What is an HOA and how much does it cost? Some communities set up an organization called a Homeowners Association. The HOA sets specific standards for the community and works to maintain these standards within the community. The HOA may be responsible for upkeep of certain common areas within the community. The cost associated with living in a community that has an HOA will vary based on the responsibilities of the HOA.

What is a 1098 interest statement and why is it important? Each year, you should receive a 1098 statement from your mortgage servicer. This form shows the interest that you paid on your mortgage loan for the previous year. In some instances, this interest can be a deduction on your IRS tax return.

Why is important to make my mortgage payment on time? Your payment is normally due on the first of every month and considered late by the 16th of each month. If a missed payment goes beyond 30 days or the end of a month, it can be reported to the credit agencies which can negatively affect your credit score as well as the ability to obtain a mortgage soon. Setting up an automatic payment can help keep you from any late payments.

What is equity and how can I access it? Equity is the difference between what you owe on your existing mortgage and what your property value is or how much you can sell the home for. Your equity increases as you pay down your mortgage while your home appreciates in value. You can access the equity in your home through a sale, a cash out refinance, or a home equity loan or line of credit.