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Mortgages, taxes & trust account
I'm curious what the norm is on paying mortgages and taxes (when not lumped into mortgage) out of a trust account. It seems that the property reserve would have to be high (obviously enough to cover 1 mortgage). Afterall you don't want to be short for the mortg and attempting to get money in before the draw date (assuming it is an autodraw because it seems like a lot of lenders are almost requiring that). I understand with taxes (in absence of a mortgage) it would need to be escrowed monthly out of the account to a savings account. That honestly doesn't seem that bad or hard.
Is it just the few people I've talked to locally that don't pay mortgages out of the trust account? If so, how do you guys handle paying mortgages out of the trust account? Do you permit autodrafts? Anyone not escrow for taxes?