So in April 2008 I missed my first property tax, about $3K. Next was in Nov 2008, another $3K. I've been debating walking away for almost a year now but because I have perfect credit and have never been late on any bills (except these ppty taxes) I've been delaying missing my mortgage payments. Plus now I'm renting my place now so can't really just let it go to foreclosure.
So anyways, rec'd a letter today from my first that says "during a recent review of your property taxes we have discovered that delinquencies exist and are payable."
It goes on to say that if I don't pay my property taxes, then
"they will either set up an escrow account to collect past due amounts or they will increase my monthly mortgage payments to repay the advances and to collect for monthly escrow deposit"
Is this just a bunch of hot air? Or can they really increase my mortgage payments? I don't see how they can do that. I don't have PMI. First is with WFB and property taxes are due to Ventura County, CA.
I know Prof Shays says that we shouldn't pay our property taxes if we eventually will let our place go to foreclosure since the state can't go after you personally for 5 years.
If that is the case, then can the state really pressure my first to increase my mortgage payments in order to pay back past property taxes?
I'm really confused here why WFB would send this too me. Do I have to worry or is it all talk?