The Escrow Escalation: A Hidden Tax on Homeownership Escrow payment jumps of $400 or more are just another symptom of a broader trend in housing costs that is making homeownership increasingly unaffordable for many Americans.
While property taxes and insurance premiums have been rising sharply over the past few years, the real issue lies not in the increases themselves but in how they are absorbed by homeowners.
Escrow accounts were originally intended to serve as a buffer against shocks such as price spikes.