When Are Property Taxes Delinquent?
February 1st. Payment for your full property tax bill from the previous year, with rates determined by your county assessor, is due on January 31st. Every year. If you don’t pay by that date, you’re in property tax delinquency as of February 1st.
What Do You Owe Immediately?
Obviously, you owe the full delinquent property tax amount. On top of that, you are immediately charged a 7% penalty for being late. However, as bad as that may seem, it doesn’t stop there.
What Happens When Property Taxes are Delinquent?
If you owe delinquent property taxes, you’ll get hit with an additional 2% penalty for every month you haven’t paid. On top of those ongoing penalties, there’s a 20% collection fee that’ll slam you on July 1st, the biggest penalty of the year.
Besides penalties and interest, a tax lien will be placed on your personal property. Essentially, it becomes collateral that is owned by the government until you pay off your debts. While it’s usually after about 60 days of delinquency, the authorities can begin the foreclosure process at any point during the time. It ultimately depends on the current economic climate, the circumstances surrounding your delinquency and the guidelines set forth by your county. Once foreclosure starts, you’ll have to go to court where a judge may allow the process to continue.
How Long Can You Be Delinquent on Property Taxes?
Once you owe delinquent property taxes, the consequences will continue to stack up indefinitely until you pay up. Foreclosure is the most detrimental of these — once given the go-ahead by the courts, the taxing authority has the legal right to sell your property to a new owner. In addition to a public notice, Texas law dictates that you must personally receive a written letter notifying you of the details of the sale.
The sale takes the form of a public auction where the highest bidder will receive the tax deed to your home or other property. Their bid must at least match the house’s market value or the total amount of your accrued delinquent property taxes (along with penalties and interest), whichever amount is lower.
How Can You Halt Foreclosure or Stop a Tax Sale?
The only way to stop a foreclosure auction is to pay off your delinquent property taxes completely. Doing so will immediately release the tax lien from your home or other personal property.
Who is Responsible for Delinquent Property Taxes?
You are. Anyone who owns property in a Texas county is subject to paying property taxes at the rate determined by the assessor. If you owe delinquent property taxes, it is solely your responsibility to pay them off.
What Can You Do About Delinquent Property Taxes?
Property tax help comes in many forms. You could seek an exemption or appeal from the local taxing authority if you meet certain requirements. However, it is generally rare to obtain these. Other forms of property tax relief may be available in your county, but none of these are guaranteed. The fastest and surest way to settle delinquent property taxes in Texas is through a loan.
Why Property Tax Loans?
Texas property tax loans are fast and easy, especially with Tax Ease. All of your delinquent property taxes will be paid off in one fell swoop, and you’ll be able to repay the full amount on a schedule that is best for you and your family or business. This way, you’ll avoid accumulating absurd penalties and paying fees to law associates. When the entire amount is paid, any tax lien placed on your personal property will be immediately removed so you won’t risk foreclosure.