Mortgage company increase monthly bill without notice do I have any recourse?

I purchased a rental property in March 2007. I ran all the numbers and was clearing close to $400 dollars a month on a $200K dollar home. In December of 2007, the mortgage company increased the monthly bill by $250 dollars because of escrow balance deficiencies. Do I have any recourse here? The mortgage broker and my mortgage company quotes me at one price then jacked it up by more than 10% which is killing my margins. Any advice would be helpful. I didn't consider selling despite the dropping value, because my monthly take was still strong, but now that I'm barely getting by this might make me reconsider.