My property taxes are already paid off and there is still a collection in Section F prepaids, what should I do?

Prepaids refer to charges listed in Section F on your Closing Disclosure and Loan Estimate documentation. The due dates for these costs occur after your mortgage has been signed and funded but before the last day of your first payment month. They are prepaid at closing to avoid any delinquency. The charges in Section F include taxes, insurance, and prepaid interest.

If you already paid for the property taxes due within your first mortgage payment but still see an outstanding charge in Section F of your documentation, your lender can remove the redundant fees. You just need to provide documentation (such as an escrow disbursement, screenshot from the county website showing $0 balance due, or a letter from the county if digital records aren’t available) from the county/town/school district confirming that those taxes have already been paid and there is zero outstanding debt.

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