Escrow, Property Taxes and Homeowners Insurance

A not-for-profit approach in a for-profit world.

Escrow accounts, property taxes and homeowners insurance — three topics that could easily scare the socks off any new homebuyer. The world of mortgages and property finance is a wild one, but Elevations Credit Union is your calm in the storm. As a local financial institution, we know the Colorado laws and loan details to a tee, so you can trust us to provide the resources and guidance you need to feel confident that you’re covered.

First Mortgage Escrow Information

Many loan terms state that Elevations Credit Union will set up an escrow account to pay property taxes and insurance (including homeowners insurance and flood insurance) on your behalf. In most cases, if Elevations is escrowing for your loan, you will not need to make these payments. Our sub-servicer Dovenmuehle Mortgage Inc. (DMI) handles all escrow accounts.

Why does escrow change?

What is an escrow shortage/overage?

I paid my shortage. Why did my monthly payment still change?

Can I prepay my escrow account to make sure my payment does not change?

How do I remove escrow?

How do I know if I am escrowing?


Property Taxes

Each year, every county in Colorado collects taxes based on the assessed value of real property. This is generally referred to as a property tax or county tax. You should receive a Real Estate Property Tax Notice, sometimes referred to as a Tax Certificate, which are typically issued in January. Property taxes are paid in arrears, meaning taxes assessed for year 2018 are paid in 2019.

Please note: You will not need to provide us the Property Tax Notice and should retain it for your records.

Who pays the property tax?

How do I know if I am escrowing for property taxes?

When will you pay my property tax?

What are my responsibilities?

What about IRS tax forms?


Homeowners Insurance

All loans require evidence of homeowners insurance. Homes within a flood zone also require evidence of flood insurance. There are minimum coverage requirements for both homeowners insurance and flood insurance. You are responsible for maintaining coverage on your home at all times during the life of the loan. Any lapse in coverage that occurs may have an insurance policy purchased at your expense.

If your Homeowners Association (HOA) provides a policy that covers your home, it is your responsibility to submit a copy of this policy to Dovenmuehle Mortgage Inc. (DMI) as evidence of insurance.

Can I change my homeowners insurance?

Property damage & loss draft (insurance claim) information

What should I do if I receive a check from my insurance company to repair damage to my home?

What happens when I bring the check to a branch?

If my insurance claim is handled by DMI, what can I expect the insurance claim process to look like?

How do I get documents to DMI?

What if I have questions?


1st Mortgage Private Mortgage Insurance (PMI/MI)

Generally, Private Mortgage Insurance (PMI/MI) is required on your loan when the loan amount compared to the house value is over 80%. This is called your loan-to-value ratio. This insurance protects Elevations Credit Union in case of default. Monthly payment of PMI is handled out of your escrow account by our sub-servicer, Dovenmuehle Mortgage Inc (DMI).

Your PMI/MI disclosure statement received at closing will detail when your monthly PMI payment will auto-terminate. If you have a monthly PMI/MI payment, you may qualify to have this removed upon meeting required federal guidelines. The earliest date to request removal of PMI/MI will be determined based on the loan-to-value ratio, the seasoning (age) of your loan, property value by appraisal and payment history. .

To remove PMI/MI, please contact DMI at 1.877.849.9267, and make sure to reference your 10-digit loan number with any correspondence.

Contact Dovenmuehle (DMI, Elevations Trusted Servicing Partner)

Have a question?
Contact our Mortgage Team at:
303-443-4672 x2289

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