Archive for June, 2013

Why are there so many Property Tax Lenders?

Published by Tech Team on June 24th, 2013 - in Loans, Taxes

Over the past decade we’ve seen an explosion of new property tax lenders.  If you are delinquent on your property taxes, you have probably already received a dozen offers from tax lenders.

What is known about Property Tax Lenders

The CPPP published an article back in 2007 about property tax lending. The article explains how tax lenders operate and that there are alternatives.

Summary

In general, a tax loan in Texas is a super superior lien. This means that even if you have a mortgage on your house, the tax lender can foreclose and your mortgage lender has to either pay off the tax lien to retain the property or forfeit their lien on the property.

With all the financial stress in the country right now, many small groups of investors have moved to tax lending as a secure and very low risk way to invest their money.

Need a Property Tax Loan?

If you’ve tried the options that local counties provide and still find yourself needing a loan, our team at Texas Property Tax Loans is very knowledgeable and can help you get a loan for your specific needs.

See how easily you can get financial relief

Published by Research Editor on June 17th, 2013 - in Loans

73% of Americans say that money is the top factor that affects their stress level. The stress and pain that comes with financial burdens can be overwhelming and debilitating.

 

Taking control over your financial situation will give you relief and help you move forward. One of the easiest ways to get financial relief is through a property tax loan, which lets you:

  • Stay in your house
  • Pay off the loan on your terms, not the government’s terms
  • Stop worrying about huge penalties for late property tax payments
  • Avoid serious lawsuits
  • Prevent foreclosure

Coming up: deadline to pay second half of split payments

Published by Research Editor on June 15th, 2013 - in Taxes

Did you split your 2013 property tax bill into two payments? If so, the second payment is due on or before June 30.

For more information on splitting your property tax payments, see our post, Split Payments: Is it for You?
For more on property tax loans, see Texas Property Tax Loans.

8 things to look for in a property tax lender

Published by Research Editor on June 10th, 2013 - in Loans, Taxes

There are many property tax loan lenders in Texas. How do you pick the one that’s right for you? Here are 8 things to look for:

1. Quick turnaround

Usually when you need a loan, you need one as quickly as possible–the sooner you get the loan, the less interest and fees get piled up. Find a lender that promises a quick approval process.

2. No Upfront Costs and Fees

One of the benefits of a property tax loan is avoiding fees. Don’t accept a lender who will saddle you with more fees than the government would.

3. Convenient Closing

Do you have to travel across the state to sign closing papers? Or will the lender come to your home or office?

4. Online Account Information

Can you access your account information online? Is it convenient? And secure?

5. No Prepayment Penalties

If you choose to pay off your loan early, will your lender penalize you with extra fees?

6. Protecting You from Third Parties

Will your lender sell or give your private information to third parties?

7. How Foreclosure Is Handled

Foreclosure is a difficult prospect. After all, one of the reasons you want a proprety tax loan is to avoid foreclosure, isn’t it?

The problem is, if a lender promises they never foreclose, there’s a problem: if you become delinquent, the lender who never forecloses is going to sell your loan to someone else, who will foreclose on you, instead of helping you.

8. Outsourcing

Most loans you get will never be touched again by your lender. If they don’t immediately sell the loan, many hire another company to service the loans. And whoever services the loan is the company you’ll spend the most time dealing with.

So if the lender’s bedside manner or courtesy is important to you, make sure they’re not going to outsource their servicing.

 

We think we can provide you with the best property tax loan experience, but whether you choose us or someone else for your needs, choose wisely.

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Options for Delinquency

Published by Research Editor on June 3rd, 2013 - in Tax Penalties, Taxes

A new law requires property tax lenders to include this line in their ads:

“YOUR TAX OFFICE MAY OFFER DELINQUENT TAX INSTALLMENT PLANS THAT MAY BE LESS COSTLY TO YOU. YOU CAN REQUEST INFORMATION ABOUT THE AVAILABILITY OF THESE PLANS FROM THE TAX OFFICE.”

While the all-caps and bold font may seem a little excessive, it is good to remember that property tax loans are only one option among many for dealing with delinquent property taxes:

Property tax loan

Advantages: your taxes are paid, which means you avoid delinquency status, penalties, lawsuit, and foreclosure. Disadvantage: a property tax loan is a superior loan, meaning the lender can foreclose on your house if you don’t pay back your loan.

Delinquent tax installment plans

Split your payments into four smaller payments. However, this plan is not always available in every county to every citizen.

Split payments

Pay your taxes in two smaller payments instead of one giant payment. Disadvantage: the first half is paid a month early: November 30 Instead of January 1.

Tax deferral

You don’t have to pay your property taxes right now. However, this is limited to senior citizens. Your taxes accrue 8% interest each year–and you do have to pay the taxes eventually.

Borrow money from family or your savings

This could be a great option–or a horrendous option–depending on your situation. Be wise.

Refinance your mortgage to include the taxes

Establish an escrow account

Ignore it

Worst idea ever. You’ll suffer penalties, lawsuit, and foreclosure. Don’t just ignore your delinquent taxes.

 

Whatever option you choose, be wise and make an informed decision.

© 2013 FYP, LLC.