Re: How do I get my escrowed property taxes lowered in my monthly mortgage payment?
03-23-2009 09:15 AM
I went through the same process when I bought my home last February. My home came back at 170,000 in the tax appraisal even though I purchased it for $126,000 and my property appraisal at closing came back at $131, 500. I disputed the county's tax appraisal, submitted the paperwork and they went with my appraisal amount of $131,500. For 12 months I paid the higher taxes knowing I was overpaying and my escrow balance kept getting larger and larger. Tax time came and went, they paid out my taxes. Countrywide adjusted my escrow balance automatically and issued me a partial check of a little over $600. Apparantly they figured the lowest escrow would reach throughout the year (around $1300), they then kept 16.6% of the base escrow amount (about $700) and subtracted the $700 from the $1300 and refunded me the rest. It seems there will always be some overage in the account as a just in case, however, they have adjusted my monthly payment down for future tax costs. All of this was automatically done at around 12 months.
I suspect that like me they will reimburse you for part of it, the rest they will keep in your escrow account.
I don't own a home, but from others I've heard, it's always better to have an overage in your escrow account rather than a shortage. I've heard some horror stories about people owing so much to Escrow that they can't find the money on such short notice.
2/11/09: TU: 773, EQ: 790, EX:790
11/16/08: TU: 773, EQ: 785, EX: 780
Goals for 2009: 0 Credit Card Debt & 0% Util (achieved 2/6/09), Mortgage! (achieved 11/2/09), getting closer to 800 scores (I crossed this earlier this year, but I'm sure I'm not there anymore!)