304.02

T&I Impositions

Requirements

Unless precluded by the Loan DocumentsLoan DocumentsAll Fannie Mae-approved documents evidencing, securing, or guaranteeing the Mortgage Loan. , you must:

  • collect monthly payments from the BorrowerBorrowerPerson who is the obligor per the Note. ;
  • ensure all T&I ImpositionsT&I ImpositionsAmounts for taxes, insurance, and other charges assessed against or owing on the Property which you deem necessary to protect the Property and/or prevent Liens imposed on it. are timely paid, including:
    • real estate taxes;
    • special assessments;
    • water and sewer assessments;
    • PILOTsPILOTsPayment In Lieu Of Taxes. ;
    • insurance premiums;
    • ground lease rents; and
    • all other charges or obligations that could become a LienLienLien, mortgage, bond interest, pledge, security interest, charge, or encumbrance of any kind. against the PropertyPropertyMultifamily residential real estate securing the Mortgage Loan, including the fee simple or Leasehold interest, Improvements, and personal property (per the Uniform Commercial Code). ; and
  • pay any penalty or late fee if you fail to make timely payments.

Guidance

You may:

  • Charge the BorrowerBorrowerPerson who is the obligor per the Note. for any penalty or late fee incurred if the failure to timely pay was due to insufficient T&I Custodial AccountT&I Custodial AccountCustodial Account for the deposit of T&I and other impound escrow funds. funds.
  • Use qualified third-party vendors (that you manage and monitor) to
    • collect T&I Custodial AccountT&I Custodial AccountCustodial Account for the deposit of T&I and other impound escrow funds. funds, and
    • pay T&I ImpositionsT&I ImpositionsAmounts for taxes, insurance, and other charges assessed against or owing on the Property which you deem necessary to protect the Property and/or prevent Liens imposed on it. .