[fintstone]

Therein lies your problem. I have had similar happen to me as well). It is not unusual the first couple of years as they may have computed the annual amount needed before the second installment of property taxes came out, or you may have already made one of the payments when your financing went through, etc.. No one is perfect. That is why you need to check /review it every year yourself (you found the problem easily yourself once you looked). At least the mistake was in your favor (they loaned you money for free vice the opposite). Also, figuring it low makes it easier to qualify when financing/refinancing (if you were close).