Escrow & Title
What is an 'escrow waiver' and when might it be granted in Illinois mortgage lending?
AA waiver releasing the escrow agent from liability after closing
BLender permission allowing a borrower to pay property taxes and insurance directly rather than through a monthly escrow account with the lender✓ Correct
CA waiver of the requirement to use an independent escrow agent
DPermission from IDFPR to skip the escrow process for small transactions
Explanation
An escrow waiver allows a borrower to pay property taxes and insurance directly instead of having the lender collect monthly escrow payments. Lenders may grant escrow waivers for borrowers with strong credit, significant equity (typically 20%+), and a history of timely payments.
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