Tax Service Fee
The tax service fee pays a third party to monitor that property taxes are paid. Some regulators view it as a cost the lender should absorb.
- Typical range
- $50–$90
- Category
- Third-Party
- Negotiable
- Usually negotiable
Common problems with the Tax Service Fee
- Passed to the borrower when it benefits the lender
- Above the typical range
How to check this fee on your Closing Disclosure
Find this line item on page 2 of your Closing Disclosure. Compare the amount to the typical range, and check whether it duplicates another fee. If it is above range or a junk fee, raise it with your lender before you close — you have a 3-business-day review window.
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For informational purposes only. Not legal, tax, or medical advice.