What Are Property Tax Lenders?
In Texas, property tax lenders are entities that provide loans to property owners. These loans enable individuals to pay off delinquent property taxes. Loan companies get a tax lien on the property that allows them to foreclose if the borrower doesn’t pay off the full amount of the loan. However, a good property tax lender will set up an effective payment plan to keep that from happening.
How Are Texas Property Tax Lenders Different from Banks?
Banks and other traditional lenders can often offer a lot of money, but there are more restrictions in place to receive loans from them. On the other hand, Texas property tax lenders don’t usually have as many hoops for borrowers to jump through.
How Important Is Your Credit Score to Property Tax Lenders?
Most property tax lenders are not concerned with your credit history, and many don’t even require a check. That means that bankruptcy, judgments and lack of credit usually do not count against you. More often, companies want to provide a property tax loan process that is quick and effective for helping you pay off your debts.
So, Can You Still Get Texas Property Tax Loans with Bad Credit?
Generally, yes. Texas property tax loans are available for people with any type of credit.
Are Property Tax Loans Good for Property Owners?
Whether you own residential or commercial property, tax loans are a way out of having to pay in one lump sum. If you’re unable to pay your entire bill at once, a loan is preferable to owing delinquent property taxes.
- Property tax loans are usually cheaper than the penalties and fees you’ll pay for being delinquent.
- The requirements for getting a loan are simple.
- Texas property tax loans offer a greater degree of financial freedom than delinquency.
- You won’t incur any more penalties, and property tax lenders will pay off all existing debts to your local taxing authority.
How Do Property Tax Lenders Affect Local Taxing Authorities?
Local taxing authorities use the money generated from property taxes to provide a plethora of public services. If you’re delinquent, that’s money that isn’t going to schools, law enforcement, emergency services and more. Since property tax lenders pay what you owe them, the tax assessor-collector and other authorities do not have to take further action, saving them time and money.
Are Texas Property Tax Loans Good for Mortgage Holders?
Property tax loans tend to be good for lien and mortgage holders. Since the borrower has the ability to pay back the lender on their own schedule, it’s less likely that they’ll default on a mortgage payment. Also, the borrower will no longer be delinquent, meaning they won’t build up further penalties, preserving some of the property’s equity.
How Do You Know if You Should Get a Property Tax Loan in Texas?
Working with a property tax lender isn’t always the right option. However, if you owe delinquent taxes, it may be worth considering. Here are some things to keep in mind:
- Do your research. Learn exactly how Texas property tax loans are handled by all parties, from the lender to the local taxing authority.
- Only choose quality property tax lenders. Make sure you’re looking at loan companies that are affordable, flexible and easy to work with, like Tax Ease.
- Decide if it’s right for your financial situation. There are different types of property tax help to consider — for instance, if you qualify for an exemption or payment plan, those might be better choices. Consider the terms for all of your options before making a final assessment.