If your loan includes escrow, you can count on us to pay your property taxes on time.
♦ Your escrow account will be debited before the delinquency date.
Many taxing authorities allow grace periods for payments.
♦ A grace period is the time after the due date but before the delinquency date, during which you can still make a payment without penalty.
The delinquency date is the last date taxes can be paid before penalties apply.
If you have an escrow account and receive a delinquent tax bill, contact us immediately so we can investigate and resolve the issue.
♦ Email us at tax@admortgage.com and include your loan number in the subject line.
If you receive a notice that your property is eligible for a “tax sale” or “tax foreclosure”, you should contact us right away.
If you purchased a new construction home, your first few property tax bills may be lower than estimated at closing, depending on your taxing authority’s billing schedule.
Why does this happen?
♦ Often, the property has not yet been fully assessed to include both the land and the home, resulting in a lower tax bill.
♦ The tax amount used to set up your escrow payment is based on the last known tax amount, which is usually a “land only” value assessment.
Important: Because of this lower initial assessment, we may return excess funds to you as an escrow overage after an escrow analysis.
However, this does not mean taxes will stay low. Once the property is fully assessed for land and home, your taxes may increase significantly, which could:
♦ Cause a shortage in your escrow account, and/or
♦ Result in a supplemental tax bill.
If your loan is escrowed, we receive tax bills directly, so you don’t need to send us your copy — unless:
♦ The bill is for delinquent taxes, or
♦ It’s a supplemental/interim tax bill.
If you need to send us a bill:
♦ Write your loan number on the bill first, then send it using one of these options:
♦ Email: tax@admortgage.com
♦ Fax: (877) 903-2967
♦ Mail:
A&D Mortgage LLC
ISAOA/ATIMA
899 W Cypress Creek Rd
Fort Lauderdale, FL 33309
No matter what state your property is in, you may be eligible for a property tax exemption based on state law and your local taxing authority’s guidelines.
Important:
You must apply for and obtain documented approval directly from the taxing authority.
♦ Once approved, send the documentation to us at tax@admortgage.com or escrow@admortgage.com so we can update your escrow account.
The documentation must include:
♦ The estimated new tax amount
♦ The effective date of the exemption
Types of Tax Exemptions
1. Partial Exemption
Reduces the taxable value of your property, lowering your overall tax amount.
Example:
♦ Home assessed at $200,000
♦ 25% exemption = $50,000 reduction
♦ Taxes calculated on $150,000 instead of $200,000
♦ At a 2% tax rate, savings = $1,000
♦ 2% of $200,000 = $4,000
♦ 2% of $150,000 = $3,000
2. 100% Tax Exemption
♦ You do not pay any property taxes, and we do not collect escrow funds for taxes.
♦ Common for senior citizens and disabled veterans.
Eligibility varies by state law and local taxing authority, but common factors include:
♦ Homestead Exemption
♦ Senior Citizen(age varies by jurisdiction)
♦ Disability
♦ Military Veteran
Important Notes for Borrowers:
♦ If your loan is escrowed, we can only recalculate your escrow account after receiving the actual tax bill reflecting the exemption.
♦ If the loan is for an investment property, most exemptions do not apply.
♦ Make sure your loan is escrowed and the property is owner occupied.
Example Scenario:
♦ Borrower gets homestead exemption on 05/31/2025.
♦ Next tax payment due 01/31/2026.
♦ Borrower wants immediate escrow recalculation.
♦ We can only recalculate after receiving the actual bill.
California Supplemental Property Taxes
If your property is in California and the assessor determines an increase in value — due to a recent appraisal, improvements, or new construction — you may receive supplemental tax bills based on the increased property value.
♦ Unlike your regular annual property taxes, a supplemental tax is a one-time tax that applies from the date you take ownership or complete construction until the end of the tax year (June 30).
Important:
♦ These supplemental taxes are the homeowner’s responsibility and will not be paid through your escrow account.
♦ However, if supplemental taxes remain unpaid and the property becomes subject to a tax lien, tax sale, or delinquency, we may advance the payment from your escrow account.
♦ This could result in an increased monthly payment after your next escrow analysis.
When Will You Be Billed?
Depending on your taxing authority, you could receive a supplemental tax bill in as little as 3 weeks or as long as 6 months.
What If You Disagree with the New Value?
Once the assessor appraises your property and notifies you of the new supplemental assessment amount, you have the right to:
♦ Discuss your valuation with the assessor
♦ Apply for a Homeowner’s Exemption
♦ File an Assessment Appeal directly with the taxing authority