My escrow dramatically rose after year 1. When I asked about it, I was told it was "definitely taxes or insurance". After looking into myself the city of Baltimore claimed my property did increase in value, but not in the ballpark of my escrow increase, and my insurance went up marginally. So where did the rest of the vast majority of the increase come from? Example Case: - Actual cost of escrow is $200 (monthly) - Broker estimates it will be $100 and charges you that year one. - Year 2 the mistake is caught and you now owe $300 a month to compensate for the lack of funds in the first year's escrow account. It's frustrating the mistake was wildly in their favor, making the quote look better/cheaper. By the time the mistake was caught and the higher rates kicked in, the loan had already been sold to another company. Everything else went smoothly and they are responsive via email/phone and are generally polite/professional. Just this situation really mislead me as a first time home buyer.