Frequently Asked Questions

A postponement of property taxes is a deferment of current-year property taxes that must eventually be repaid. Taxes postponed are secured by a lien against the property.

Applications may be submitted between October 1 and February 10 each year and are available beginning in September.

Contact the PTP team at (800) 952-5661 to have an application mailed to you, or to verify if your county qualifies for extension after the February 10 deadline.

Acceptance into the program will depend on availability of funding. An applicant must re-apply each year in which postponement is desired, and demonstrate they meet the following criteria:

• Is at least 62 years of age, or blind, or disabled;
• Has a total household income of $53,574 or less, as defined in California Revenue and Taxation Code 20503;
• Owns and occupies the property as the principal place of residence;
• Has at least 40 percent equity in the property; and
• Not have a reverse mortgage on the property

Applications will be approved and taxes postponed on a first-come, first-served basis.  If there are not enough PTP funds to cover all eligible applicants, the State Controller will notify the applicants.

According to the Social Security Administration, a person is considered disabled if he or she is unable to engage in any substantial gainful activity due to a physical or mental impairment that is expected to last for a continuous period of 12 months or longer.  Proof of disability is required with each year’s PTP application.

During the filing period of October 1 to February 10, applications will be reviewed in the order received, based on the postmark date.  Typical processing time is 6 to 8 weeks depending on the volume of applications.

If you are approved for PTP, the State Controller will make a payment on your behalf directly to the county tax collector.  The State Controller’s Office does not contact lenders and PTP does not affect your escrow account.  Property owners are responsible for contacting their lenders and paying all amounts due.

State law requires all duplicate PTP payments be refunded by the county to the taxpayer. The property owner is responsible for paying their property taxes to the county by the due date.  The State Controller is not responsible for any fees, interest, or penalties the county may assess as a result of late payments while a PTP application is pending.

Manufactured homes, whether affixed or un-affixed, that were constructed on or after June 15, 1976 are eligible for postponement under the PTP Program.

No.  California law does not allow PTP for floating homes or houseboats.

No.  To be eligible for the PTP program, a homeowner must apply and meet the PTP eligibility requirements each year.  California law does not allow the State Controller’s Office to make exceptions for previously eligible applicants.

An applicant who has refinanced or obtained an equity loan is not automatically disqualified from PTP.  However, such loans may drop the amount of equity in the home below the required 40 percent threshold for PTP eligibility.

An applicant with an existing reverse mortgage is not eligible for PTP, because the amount of equity in the home is being drawn down.  If a current PTP program claimant refinances or obtains a reverse mortgage, repayment of postponed taxes (plus accrued interest) becomes due and payable.

No. The state places a lien against the property with the county or a security agreement with the Department of Housing and Community Development for manufactured homes when the postponement is authorized, but title to the property does not change.

State law does not allow for the subordination of the PTP lien to any junior lienholders.

All taxes postponed under PTP and interest become due and payable if the:

• Property is no longer the claimant’s principal place of residence;
• Claimant dies (and there is no approved surviving spouse);
• Claimant sells, conveys, or otherwise transfers the property;
• Claimant becomes delinquent on a senior lien;
• Claimant refinances or obtains reverse mortgage; or
• State Controller’s Office learns postponement was granted in error.

The interest rate for all taxes postponed under PTP is 5 percent per year.

For example: on a PTP postponement of $1,000 in taxes, the interest would be $50 per year, or $4.17 each month.

Yes.  Consulting a county tax collector can help an applicant determine potential liability and the best course of action.

No. California law does not allow the PTP Program to pay for prior years of delinquent taxes. However, an applicant who has defaulted taxes from previous years may still qualify for PTP, depending on the number of years, amount, and other obligations against the property.