Escrowing property taxes is very common in the United States. Here you will learn how it works and whether it’s an option for you.
What Does It Mean To Escrow Property Taxes?
Escrowing your property taxes is a simple concept and useful tool for many property owners. When you escrow your property taxes, your lending company will assess you an extra amount over and above your mortgage payment each month. The amount and the fact that it is to be escrowed will be clearly delineated on your monthly mortgage statement. These payments are placed into an escrow account where they accrue and remain until it is time to pay your property tax bill.
Over time, you will have paid enough in small amounts to cover the taxes. When tax bills are mailed out, your mortgage company will receive the actual bill and will pay it on your behalf. You will … Read More