Short answer: contact the office that sends your tax bill before the due date and ask what it offers. Unpaid property taxes are serious: the CFPB says that if you fail to pay them, “your state or local government may impose fines and penalties or place a tax lien on your home. You could also face foreclosure” (CFPB, read October 30, 2026). Rules differ by place, so this guide gives questions to ask, not local rules. This is general information, not tax or legal advice.
Questions to ask your county treasurer or tax collector
- Can this bill be paid in installments, and are there dates or fees for that?
- What penalties and interest apply if I pay late, and from what date?
- At what point is a tax lien placed, and what happens after that?
- Is there a payment plan for taxes that are already past due?
Questions to ask your county assessor
- Do you offer exemptions or deferrals for older homeowners, veterans, people with disabilities or people with low income, and do I qualify?
- Is my home recorded as my primary residence, if that affects my bill?
- How do I appeal my assessed value, and what is the deadline?
- If I qualify for a deferral, is the deferred tax a lien on the home, and when is it due?
Get answers in writing, and note each deadline.
If your taxes are paid through escrow
The CFPB says an escrow account is set up by your mortgage lender to pay certain property-related expenses, and your servicer pays those bills on your behalf (CFPB). Under Regulation X (12 CFR 1024.17):
- The servicer “must pay the disbursements in a timely manner, that is, on or before the deadline to avoid a penalty, as long as the borrower’s payment is not more than 30 days overdue” (paragraph (k)(1)).
- The servicer must analyze the escrow account to see whether a surplus, shortage or deficiency exists, and must notify you at least once during the escrow account computation year if there is a shortage or deficiency (paragraphs (f)(1) and (f)(5)).
How a shortage can be handled, per paragraph (f)(3):
| Shortage size | What the servicer may do |
|---|---|
| Less than one month’s escrow payment | Allow it to exist, require repayment within 30 days, or require equal monthly payments over at least 12 months |
| One month’s escrow payment or more | Allow it to exist, or require equal monthly payments over at least 12 months |
Regulation text as in eCFR, up to date as of October 28, 2026. If your escrow payment rises after a tax increase, ask your servicer for the escrow analysis and whether you may spread the shortage over 12 months or more.
If there is no escrow
The CFPB says that if your loan does not include an escrow account, you will have to plan to pay these large expenses yourself. It also says that if you fail to pay your taxes or insurance, your lender may add the amounts to your loan balance or add an escrow account to your loan (CFPB). It suggests considering a voluntary escrow account so you pay small amounts with each mortgage payment instead of one large bill.
If you have a reverse mortgage
For a Home Equity Conversion Mortgage (HECM), the CFPB says: you are required to pay your property charges, such as property taxes and homeowners insurance, on time, and if you do not meet the loan’s requirements, “you could lose your home to foreclosure” (CFPB, read October 30, 2026). If loan money was set aside to pay these charges, check your monthly statement or contact your lender or servicer. See reverse mortgage vs personal loan.
If you are also behind on the mortgage
Call your servicer early and ask what options exist. See behind on mortgage payments: your options.
If you would borrow to pay the bill, only for the math
This example is only for the math, not a typical tax bill. It compares paying $2,000 over 24 months at the Federal Reserve’s August 2026 averages: 11.90% APR for 24-month personal loans and 22.36% for credit card plans (G.19). Compare it with the county’s own installment plan, penalties and interest before you borrow.
| Option | Monthly payment | Interest | Total paid |
|---|---|---|---|
| Personal loan at 11.90% | $94.05 | $257.20 | $2,257.20 |
| Credit card at 22.36% | $104.11 | $498.64 | $2,498.64 |
$94.05 x 24 = $2,257.20, and $104.11 x 24 = $2,498.64. Your rate depends on your credit and the lender. See how to budget for a loan payment.
Checklist
- Call the tax office before the due date and ask about installments and penalties.
- Ask the assessor about exemptions, deferrals and appeal deadlines.
- If you have escrow, read the escrow analysis and ask how a shortage can be spread.
- If you have a reverse mortgage, keep property charges paid on time.
- Compare any loan with the county’s own plan before borrowing.
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Sources
- CFPB: What is an escrow or impound account? (last reviewed September 11, 2024)
- 12 CFR 1024.17, Escrow accounts (Regulation X) (eCFR)
- CFPB: What are my responsibilities as a reverse mortgage loan borrower? (last reviewed August 9, 2024)
- Federal Reserve: G.19 Consumer Credit (released October 7, 2026), terms of credit, August 2026: credit card plans and 24-month personal loans
Disclosure: Modern Lending Solutions is not a lender, loan broker or agent for any lender or loan broker, and does not make credit decisions. Any compensation we receive is paid by participating lenders, only for advertising services. This guide is general information, not financial or legal advice.