As Q3 and early Q4 arrive, LERETA is already preparing for year-end success—when half of all property tax payments come due. With 18 states due in October, another 18 in November, and 13 in December, there’s no avoiding the Q4 crunch.
To prioritize success for our clients and maximize efficiency, LERETA focuses on preparation year-round. Still, the late-summer and early-fall months are the best time for tax servicers to take proactive steps. Waiting until later in the year to tackle all the moving parts could put teams behind before they’ve even begun.
The property tax season continues to grow more complex. Rising property taxes and insurance rates often mean larger escrow amounts and higher monthly mortgage payments. In many areas, higher home values are driving up property taxes at the same time homeowners are being hit with higher insurance premiums. According to an S&P Global Market Intelligence analysis, homeowners insurance premiums rose by an average of 10.4% in 2024 across the U.S. This follows a 12.7% increase in 2023—nearly a 24% rise over two years.
LERETA’s annual survey of 1,000 homeowners found that only 60% were completely aware of how their escrow account worked. Almost half (45%) were only somewhat aware—or not aware at all—that changes in their escrow account could affect their monthly payments. These realities mean more inbound customer calls, more servicing strain, and more risk during an already busy Q4.
Here are three high-impact steps tax servicers should consider in Q3 and early Q4 to reduce stress, minimize delinquencies, and avoid the end-of-year scramble:
1. Conduct a Portfolio Audit
A comprehensive portfolio audit is one of the most effective ways to reduce year-end stress. By confirming that every loan and parcel is accounted for, servicers can prevent gaps that trigger delinquencies or borrower frustration. The most common issues we uncover are incorrect due dates, mismatched parcel IDs, or missing owner information—all of which can be fixed, but only if they’re caught early.
With rising property taxes and insurance premiums driving higher escrow balances, institutions can’t afford errors slipping into the property tax monitoring cycle. LERETA’s property tax monitoring services help financial institutions ensure their portfolios are complete and accurate, while our real estate tax tracking tools catch discrepancies before they escalate.
Performing this type of audit in Q3 and early Q4 gives servicers more time to address exceptions, allocate staff effectively, and deliver a smoother borrower experience heading into year-end.
2. Ensure All Parcels Have Adequate Legal Descriptions
Incomplete or inaccurate parcel data is one of the easiest ways for delinquencies to slip through. An inadequate legal description (ILD) report highlights missing or inconsistent details that, if left unaddressed, can delay payments or even cause penalties. Even simple fixes take time and staff resources—which are much harder to manage if everything is left until the last quarter of the year.
Partnering with an experienced mortgage tax servicer helps financial institutions stay ahead of these errors. LERETA uses automated validation tools and real estate tax monitoring services to identify discrepancies quickly and ensure parcels are tied to the correct tax lines. By resolving gaps in Q3 and early Q4, servicers create a longer runway for accuracy, reduce workload pressure, and minimize borrower impact.
3. Confirm Due Dates and Tax Agency Contact Information
Property tax due dates can and do shift from year to year—sometimes even at the last minute. Agencies may release tax bills late, adjust payment windows, or change processing requirements, and assuming last year’s dates will hold can expose institutions to compliance risk.
That’s why proactive property tax monitoring is critical. LERETA engages with more than 24,000 agencies annually to confirm updated due dates, contact information, and payment preferences (wire, ACH, or check). Our real estate tax monitoring solutions ensure these details are captured in real time, reducing the chance of missed or incorrect payments.
The rise of automated systems across tax agencies only makes monitoring more important. With nearly one in five agencies shifting toward automation in recent years, servicers need scalable processes to keep up. Partnering with the right property tax servicer gives financial institutions confidence that agency updates won’t slip through the cracks.
The LERETA Difference in Property Tax Monitoring
There’s no avoiding the year-end property tax crunch, but you can avoid having it overwhelm your teams. By focusing on audits, legal description accuracy, and proactive agency monitoring in Q3 and early Q4, servicers can minimize delinquencies, strengthen compliance, and deliver a better borrower experience.
LERETA’s full suite of solutions—from escrow tax services and property tax monitoring services to flood determination and real estate tax monitoring services—are built to help financial institutions scale with confidence. Whether you’re looking for a trusted property tax servicer or need real estate tax tracking capabilities that keep pace with changing deadlines, our technology and customer care set us apart.
Learn more about how The LERETA Difference is redefining tax servicing.