Property taxes equal revenue for many levels of government.  Taxing property is common nationwide and it’s the government collecting those taxes.  Since there is very little to no recourse for avoiding these taxes and the government is mandated to collect them, the process must continue past the delinquent property taxes position.

Local governments utilize two common forms of delinquent property taxes collection once you have completely defaulted, which usually takes years by the way. This is somewhat important to those of you who have inherited property in geographic areas unfamiliar to you in terms of their property tax revenue collection methods. Best advice here; contact their local government.

The forms commonly utilized for collection once you’ve reached this point in collection of delinquent property taxes are: tax liens and tax deed sales.  This is important because in one situation, you have one more opportunity to save your home from a sale from deed but not from a lien. Each government has the authority to choose which method they will use for delinquent property taxes collection, so pay attention when you receive notice that you’re in default and the lien holder or government notifies you that they are taking the next step.  If you receive a notice from a lien holder, it’s to notify you that they have purchased your debt and they are going to collect it and all the interest and penalties that you owe as well.  They will do this by forcing the sale of your property.

In a delinquent property taxes situation where you are now notified that your deed is for sale because the government wants their taxes, your entire property is for sale again, but in this case you are allowed one more opportunity.  There is a period of redemption whereupon you can make good on your tax debt and redeem ownership of your property.

In all cases, contact your county tax collector before either of these situations occurs. Tax deed/lien investment is a business and complicates your situation further when you start receiving phone calls prior to “the deadline” making you offers on your property.

Many times when people purchase homes, they refuse to have the property tax amount divided up and rolled into their monthly mortgage payments. When a homeowner does this, they are protecting themselves from a big expense once the year ends. The bank takes care of paying the municipality if you put the money into escrow each month. When someone purchases a house and does not elect to have the real estate taxes rolled into monthly payments, they need to be able to set aside that money before the due date. As many people are not great at budgeting and living within their means, they tend to spend the money they’re not supposed to touch. It’s an easy mistake to make.

• Medical Bills

Serious health conditions coupled with no or minimal insurance causes over 60% of bankruptcies in America. This could easily be the reason someone let their real estate taxes go unpaid for years.

• Behind in Mortgage Payments

If you are way behind in mortgage payments, chances are you are behind when it comes to your taxes as well. This usually cannot go on for years as it can for the reason stated above. If you don’t make mortgage payments, the bank will foreclose on you faster than the county will for unpaid property taxes.

• Job Loss

When a person loses their income, the last thing on their mind is usually property taxes. If the property taxes aren’t rolled into the mortgage that the individual is struggling to pay as it is, chances are the real estate taxes will go unpaid.

• Disagree on Amount Due

Several people make the mistake of not paying their property taxes because they don’t agree on the amount that’s due. If someone doesn’t agree on the amount, they need to protest their taxes. This means filing all necessary paperwork by the due date and appearing before the due date set by the county. Reasons to protest taxes include exemptions not being included in the calculation, disagreement about property value due to recent comparable home sales, and much more.

• Forgetfulness

Some people just plain forget to pay them. Even though they have gotten the notices, business, illness or carelessness leads people to just completely forget about their real estate taxes for years.

• The Bad Economy

If a person owns a business, the horrible state of the economy for the last few years could be to blame for delinquent property taxes.

• Many Other Unrelated Reasons

There are several other situations that could cause someone to let their real estate taxes go unpaid. It’s all just speculation after the main 7 reasons have been expressed.

If you have unpaid property taxes and the county or municipality is threatening to foreclose on your property, Genesis Tax Solutions is here to help. Contact us to see if we can get you a low cost loan to cover the tax debt.

So what can those facing this predicament do? Well, homeowners who are facing property tax liens only can call Genesis Tax Solutions Inc. Genesis will work to help find you a loan to pay off your property tax debt. Why work with them instead of the county? Counties almost always have steeper rates on their “loans” and also assess late fees as time goes on. They are also slower to move on the process when it comes to working in taxpayers’ favor. The staff at Genesis works for you, not the local government.

Many people who owe property taxes and are facing foreclosure feel that their only choice is to let their home go and rent a house or an apartment. These days rent is most likely higher than monthly mortgage payments. If you own a single family home and pay an interest rate below 7 percent, be prepared to pay up to a third more for several years if you let your home go. That is how much it usually costs these days to rent and have the same standard of living as in a mortgaged single family home in Harris County. Apartments can be even steeper- and you lose the comfort of a yard for your kids to play in and/or to let your dog out in with ease.

The truth is that those who think their only option is to leave their biggest investment behind and ruin their credit are mistaken! Call Genesis Tax Solutions today and put your worries to rest.

First of all, you should check into any exemptions you may qualify for and could have been eligible for several years. Some commonly overlooked real estate taxes exemptions include homestead, disability, veteran, over age 65, and more. The one most people are eligible for is the homestead tax exemption. For example, if you bought a house in May of 2011 and occupied it as your primary residence, you’d be eligible to get homestead in January of 2012. You should be able to contact your county clerk’s office or other municipal offices about this. If you don’t take advantage of exemptions, you might as well just throw money out of the window while driving. That would be crazy, right?! So is not taking advantage of the breaks available to you when it comes to real estate taxes!

After you’ve done that, you need to check into getting a property tax loan. Why? The fact is the bank can foreclose on your home if you don’t pay your taxes. If you try to work out a deal with them, they may not do anything for you. Many times they will work with you, though, just with little time to repay the “loan” and a very steep interest rate. Many property tax lenders will have loans with longer durations as well as lower interest rates. Genesis Tax Solutions is one company that works with several lenders to find answers to specifically this type of financial problem. There’s no application fee when applying with Genesis. Let them help you get back on track and stop stressing.

Whatever you do, don’t let anyone buy your home for pennies on the dollar if anyone (such as Genesis) can help you!

What exactly is the property or real estate tax? This assessment is imposed by municipalities or counties on homes and/or other personal property. How is it calculated? Different areas have different tax rates depending on if they’re in the city limits, use city sewer or their own septic tank, and other miscellaneous factors. Obviously, the more you use on your property that belongs to the city, the higher your rate is going to be. Rates on equipment that is assessed differ as well for different reasons. Municipalities assess the value of property that is to be taxed. This value is then multiplied by the property tax rate to get to the total of each yearly bill.

Why have so many people gotten behind on their property taxes? Of course there are different reasons for this. Some individuals and families have medical issues or other money related issues. One of the biggest reasons that people fall behind is because they choose to not roll the tax payment into a manageable monthly payment with their mortgage when they buy their homes. Then they get blindsided by a bill they cannot pay the next year and the cycle continues on as the person continues to make payments toward past due amounts. It is an easy trap to fall into if you buy a new home as well. See, the first year real estate taxes on homes that were just built are only on the land’s assessed value, not the land plus the newly built structure. The first bill is always pennies on the dollar compared to what the next bill will be. Also, new subdivisions have higher tax rates to pay for their infrastructure. If a person is only expecting the bill to be what it was the first year, they will definitely be blindsided by the next bill’s cost.

So what happens if you don’t pay your property taxes on your personal or business belongings that were assessed by your local government? They are able to assess a late fee (penalty) on the amount due. Then after a few months they will be able to attach a tax lien to your property for the amount owed to them. What is a tax lien? This is a means that tax collectors use to obtain the amount due from a taxpayer’s possessions. If you do not own tangible property, they can garnish wages or bank accounts in order to be paid. So what does this mean? If you haven’t paid property taxes on your home or other belongings, they can be taken away by these means.

If you find yourself in this predicament, don’t panic. There are options available to those who have delinquent property taxes. Genesis Tax Solutions, Inc., for example, offers low cost loans with low rates to several people that need to pay their local government in order to keep their belongings. Why go through Genesis instead of the municipality for a “payment plan?” Usually local governing bodies do not give taxpayers much time to pay the money back and they impose high penalties and interest rates. Don’t put it off any longer. Contact Genesis to see what options are available to you.

The most desirable area of Houston is River Oaks. This is an area that is close to all of the action. Minutes from uptown and downtown, the upscale neighborhood is perfectly situated among many popular shops and restaurants. The median listing at this point and time in River Oaks is $2.3 million. Talk about upscale living! The most expensive house in the neighborhood at this point is over $17 million. The least expensive home is $545K. The area has a low property tax rate of 2.52%. Due to the exclusivity of the area, many children who live there go to private school instead of public school. The schools are still better than many others in Houston Independent School District, but less new schools than other Houston area suburbs may account for part of the lower tax rate. Because the neighborhood is older, the utilities of the area have already been paid for. This is also part of the lower rate.

West University Place is another popular area of Harris County. It is also close to all of the action, being inside the 610 loop. The tax rate is very low at 2.26%, which could be due to the older infrastructure and homes in the neighborhood. Older doesn’t mean less luxurious in this neighborhood though. The median listing on HAR.com at the time of my research was $1.4 million. The homes range from $599K to $3.2 million. It is one of the most sought after areas in Harris County.

Montrose is a quirky and interesting area of Houston. This is a popular neighborhood for well established and starving artists. Single family homes range from $325K to $2.875 million. That’s a huge price range. The real estate tax rate of 2.52% makes the area more affordable for upper middle class families. Like the 2 forementioned neighborhoods, this area is filled with older homes and has an established infrastructure that has been paid for. This is part of the low property tax rate.

How about more affordable options for middle class families in Harris County that will also afford families a shorter commute time? Well, these two neighborhoods are within Houston and are not in a suburban town. They are also a couple of the most sought after neighborhoods in Houston. Copper Lakes is around 20 miles from the city center. The homes in this neighborhood are definitely newer than any of the forementioned neighborhoods. With a newer neighborhood, higher property tax rates exist. The rate in this area is 2.94%. Homes are much more affordable ranging from $124K to $485K, though. For many people that want more house for their money and that like the overall area, the affordability of it is important. Another popular neighborhood close to the city center that’s affordable is called Summerwood. This, being the newest neighborhood mentioned, has the highest property tax rate at 3.47%.

When buying a home, considering the real estate taxes attached to the purchase is so important. There are several more popular areas of Houston to consider. Just remember to figure in all of the numbers when buying a house, not just the home loan!

Why get a property tax loan instead of dealing with the county directly? Every time you are late on any sort of tax, there are going to be penalties and interest tacked on to the amount you owe the county. The penalty for unpaid property tax in Harris County can range from 6-12%. On top of the penalty, interest accrues at 1% per month until the debt is paid. That’s a lot of money. It isn’t just Harris County with these kinds of rates for late payments. The surrounding counties have a very similar setup. You owe it to yourself to check out local property tax lenders to see if they can give you a better rate.

Did you know that a county can also foreclose on your home if you don’t pay your taxes? This is motivation to get something figured out quickly. Why? Well, sometimes counties can move quickly when it comes to this process. You never know how long it will take. You also have to consider the penalties and interest discussed above. The longer you wait to get this taken care of, the more you’re liable for. Property tax lenders can offer a solution to your important issue. Although you will pay any of the property tax lenders out there interest, it will be less than you will pay if you go directly through the county, most likely. Also, you will probably have more time to pay the money back to a lender versus any county that you owe the money to.

All in all, Houston area homeowners have choices if their property taxes are delinquent. You can get on the right track with a loan from any reputable property tax lenders nearby. Whether the reason is lower interest rates or lower monthly payments, there will be one out there to help you!

Why does it seem like the official bill is mailed out so early compared to the due date? Well, this could be because your payment won’t be late until February 1^st, but the bill usually goes out sometime in October. This isn’t always the case, though. If the county fails to mail out your bill by January 10^th, the due date is postponed accordingly. However, most homeowners pay before the end of the year prior to the due date so they can deduct the amount on their federal income taxes.

What options are available when it comes to the payment of property taxes? Well, some collection offices allow discounts if you pay early. In effect, those who pay before year end could end up getting more savings. Some offices allow split payments. Usually the first one is made by November 30^th and the second is made by June 30^th without any penalty. Remember to check with your local government to see if this option is allowed and what paperwork you need to turn in. If you are considered disabled or are over the age of 65, you can see if you qualify to pay in installments. What about those short on cash? Although it isn’t a good plan to make, you can pay your property taxes by credit card if your appraisal district allows it. Why is it not a good plan? First of all, you cannot take the federal deduction if you don’t shell out cash before year end. Secondly, you could expect to pay up to a 5% fee for the convenience of being able to use a credit card to pay.

All in all, there are a lot of things the average homeowner does not know when it comes to the payment of their property taxes. Whether it’s payment options, due dates, or flexibility, make sure you’re informed when it comes to your collection office’s rules.