Amid economic uncertainty such as Covid-19, unexpected circumstances can lead to a delay in paying property taxes. The inability to pay property taxes can force local taxing authorities to add on penalties, interest, & fees. If the taxes and fees go unpaid for a prolonged amount of time, the county will turn over these delinquent accounts to county collection attorneys who will file a property tax suit and start the foreclosure process. To avoid this headache, property owners can take advantage of a property tax loan. A property tax loan will pay the property taxes, penalties, interest, & fees in full and help get the property owner back on financial recovery.
Property Taxes During COVID -19
Taxing entities cannot afford to halt the collection of property taxes during Covid-19 or put a stop to the mounting penalties and interest. Texas has no state property tax. Counties use property taxes to pay for schools, roads, police, streets, fire protection, and many emergency services. It is the largest single funding source for community services.
By July 1st, if property taxes were not paid in full, taxing entities added on up to a 20% collection fee. This is a total of up to 42% in penalties, interest, & fees that has been added to the tax bill since February 1st. The taxing entities will continue to add on interest until the total bill is paid in full. Property owners are facing a difficult decision on how to allocate their current finances. Property taxes typically will fall to the bottom of that list. When that happens, county services suffer. A property tax loan is a good option to get the property taxes paid in full all while getting the property owner on a payment plan that is best fit for their situation.
Benefits of Texas Property Tax Loans
Whether you are navigating short term financial trouble or just inherited a property with back taxes, a property tax loan with a lender such as Ovation Lending can be a great option. We offer flexible repayment terms up to 10 years as well as delayed first payment options. Another benefit of using Ovation is we can close loans in as little as 3 days. We do not base our approval on credit so most everyone is approved on the phone call. All it takes is a short 10-minute call. Contact one of our Licensed Loan Officers to see if a property tax loan is a right solution for you. 877-419-7392