Mortgage companies and other lenders can't prevent applicants from participating in deferral programs [ORS 311.670(3) and ORS 311.700].
For accounts active as of September 1, property tax payments are made November 15. If the deferral account is active and you don't want us to pay the property taxes, we must receive a cancellation statement, signed by the participant(s), prior to September 1.
Between September 1 and November 15:
- If the property is disqualified or if a cancellation statement is received, we'll still pay the current year's property taxes.
- We recommend that title companies hold back funds to reimburse us for the current year's taxes. Don't pay the taxes directly to the county. This will cause a double payment with the county tax collector and may delay the lien release process.
If payoff amount is requested after September 1, the balance may not include the current year's property taxes.
We record a lien for each property in the deferral program with the county clerk's office on July 1 of the first year of deferral. Lien fees are charged to the deferral account.
We will release the lien on an inactive, cancelled, or disqualified account when payment in full is received. Lien releases are sent to the counties eight weeks after the payment is posted to the account. If payment in full is made between September 1 and November 15, it must include the current year's property taxes.
To "cancel" an account is to voluntarily leave the deferral program and requires a Deferral Cancel Statement.
Once an account is cancelled, the individual is responsible for paying their property taxes unless they cancel between September 1 and November 15. In that situation, we still pay that year's property taxes. We won't release the lien on a cancelled account until the deferred tax amount is paid back.