If you fail to pay your real estate tax when they are due and continue to avoid paying them, you stand a great chance of building up charges and interest. After a provided amount of time, the county office can place a lien on your residential or commercial property. If you continue to avoid paying the real estate tax, you home can catch the auction block. This can be done even if you owe an exceptional mortgage on the house. You or another person is going to have to pay the impressive balance owed on the property taxes. It is always best to pay the taxes, however if you do not, an auction can take place.
How the auction works is the county decides you have had sufficient time to pay the real estate tax and you have actually made no effort to do so. They will then notify any lenders of intent to auction your residential or commercial property to recoup the taxes loan owed. Once the process starts, you still have time to save your residential or commercial property before the day of the auction. If you have the resources, you can use loan to the delinquent property taxes and have your home removed the auction block.
Once your home is considered delinquent in property taxes, the county will add this info into the file with other properties that are going up for auction also. Once this treatment starts, there is only one method to stop it, you have to pay the taxes and have it removed the list.(link : M777) You will have to pay the penalties and any interest that has actually built up throughout the years. When you have a receipt mentioning payment has actually been made, your home is then safe from auction and you keep ownership.
If you do not pay the real estate tax, the auction will go as planned. People sign up to participate in a property auction and are enabled to see info about the residential or commercial property prior to bidding starts. Numerous bidders will browse the title to see if there are any other lien holders on the residential or commercial property in concern. Even if you are a home loan holder, your home can be auctioned off. The legalities of a home mortgage are more intense then the auction itself. The county will put a minimum limit requirement on the residential or commercial property to recover as much of the tax owed as possible and allow bidders to bid accordingly. Once some wins the quote, you have a new situation to deal with.
Chances are, the winning bidder has actually searched the title and now knows who the mortgage lending institution is and where to reach them. The winning bidder does have a stake in the residential or commercial property and now it is a matter of obtaining the property from you as the owner in a legal sense. This is treatment is going to be prolonged and costly sometimes. You are smart to get in touch with a property tax attorney before you let this matter get this far, because you will have more issues now than you had before with simply owing real estate tax.