ServiSolutions requires the property taxes to be escrowed with a due date of the first available payment date. In Missouri, taxes are due in November when the bills are released.
ServiSolutions remits payment for Missouri properties annually in November. Lenders using alternative tax due dates at closing are causing borrowers to have an escrow shortage.
All loans with a CLOSING DATE of Monday, October 21, 2019, and after must use November 1, 2019, as the first available payment date for property taxes. Per our Loan Delivery Guidelines, ServiSolutions requires that lenders collect any taxes due within 60 days of the loan closing date and reflect collection of taxes on the Final CD.
Therefore, all loans with a closing date of October 21, 2019, and after must be escrowed for payment of 2019 taxes (due 11/1). Taxes for 2020 must be escrowed using an 11/1 due date.
When taxes are due within 60 days of closing but the bill is unavailable, the payment must be shown on the CD, and the payment must be made by the closing agent or lender when the bill becomes available. Initial Escrow Account Disclosures must reflect the correct number of months in escrow with the appropriate cushion of 2 months.
For lenders with loans that closed prior to October 21,
2019, reflecting a pre-purchase condition for payment of taxes, please disregard this condition on your loan suspense.
