What are the consequences if they are not paid? Will the bank forclose on the home forcing us out? Do we have the option to buy the home at that point?
2006-08-06 06:09:22 · 8 answers · asked by Heather A 2 in Business & Finance ➔ Renting & Real Estate
If the taxes are not paid, then either the bank will start paying them (assuming the owner has a mortgage) and tack it onto the payments so their interest is protected or the county will sell the taxes in the form of a tax sale certificate.
Buying the certificate does not mean you own the house. It means you own the taxes, and a lien is placed against the property for the amount of the certificate plus interest.
The redemption time on these certificates are anywhere from 1 to 7 years. That means the owner has that length of time to redeem the certificate, which involves paying off the tax and the interest.
If the owner does not redeem the certificate, the holder can begin legal proceedings, at which time the owner will most likely sell the property to pay everyone off and still walk away with money from the sale.
2006-08-06 06:47:48 · answer #1 · answered by BoomChikkaBoom 6 · 1⤊ 0⤋
If the taxes are never paid the house is put up for sale by auctions. It is highly unlikely the owner will give up the house unless the taxes are more than the house is worth. It takes a long time for property sales for unpaid taxes to be set up. As a renter I would not worry about this. The owner will pay sooner of later and it will not cost you anything.
2006-08-06 06:18:38 · answer #2 · answered by Kenneth H 5 · 0⤊ 0⤋
Depending on the local laws, mostly likely the owner will fall into foreclosure & you will have no rights to the property. Properties in tax default, usually get auctioned off by the county. This would be a great opportunity to purchase a property for really, really cheap. The only thing is, when you're buying a property the county is auctioning off, you'll need a large sum of cash upfront. Check with your local tax collector or property appraiser's office.
2006-08-06 06:16:11 · answer #3 · answered by Studio7 2 · 0⤊ 0⤋
well if the bank is the lender the taxes should be included in the monthly payments and if that is not the case and the owner doesn't pay taxes well he or she for sure is in trouble. and yeah if the bank foreclose the house you would be able to buy the house but i don't think that you would have any preferences just because you are renting it. i think you would have apply for credit and do all the process as new buyer. I think that would be the most probable thing to happen.
2006-08-06 06:28:10 · answer #4 · answered by martin 3 · 0⤊ 0⤋
you're allowed to pay them, yet you will benefit no precise to acquire the valuables. Many states & counties sell "tax certificates" at public sale as quickly as they grow to be antisocial. Such tax certificates carry the astounding to foreclose after a definite era. so you might acquire such an pastime you could desire to acquire the tax certificates in the process the technique. If taxes are already antisocial returned to 2005, somebody has possibly already offered the tax certificates for '05 & maybe '06. you could, in case you like, purchase the '05 cert. from whoever has it in the event that they're going to sell & then bid on the '06 (or '07). Or, you could in basic terms forget it. foreclosure of tax certs take time & you have been searching for some thing else besides. additionally, if there's a private loan on the area, the mortgage holder will possibly in basic terms step in & pay each and all of the taxes & foreclose, taking anybody else out.
2016-11-04 00:14:57 · answer #5 · answered by bulman 4 · 0⤊ 0⤋
it can be taken from them in a tax sale. However since you are the renter and it is a rental property the person who buys it should not be able to kick you out. You will just end up paying rent to a different person.
It all depends on your state though. Each one has slightly different rules.
2006-08-06 06:15:38 · answer #6 · answered by thatoneguy 4 · 0⤊ 0⤋
I would contact the tax department and ask these questions. I think they can have you move with notice, but if you go ahead of time and ask about the possibility of buying the house perhaps things can be worked out
2006-08-06 06:13:59 · answer #7 · answered by -------- 7 · 0⤊ 0⤋
I think you might be forced out. As to buying it. I don't know. I would contact your local houseing athourity and talk to them and see what they say.
2006-08-06 06:20:29 · answer #8 · answered by Anonymous · 0⤊ 0⤋