The Benefits Of Using A Property Tax Loan To Avoid Foreclosure
One of the worst situations a home or property owner can find themselves in is foreclosure, which is when a lender seizes a property as collateral due to a failure to pay the bills. This can happen when the property owner fails to pay property taxes, in which case the government can step in and sell the property in order to recover the tax it is owed. The number one best way to prevent this from happening to you, if you are behind on your property taxes, is by utilizing a property tax loan.
Bills add up quickly. All homeowners know how quickly surprise repair bills or other expenses can add up, leaving you struggling to pay your necessary taxes at the end of the 6 month period when they are due. Business owners must meet payroll, keep supplies on hand, and make sure their properties are up to code.
Being delinquent on property taxes usually incurs a 10% fee at first, but, if you continue to be unable to pay your property tax bill you will soon be facing foreclosure. The best way to ensure you don’t lose your home, business, and all the things you love is by taking out a property tax loan.
Property Tax Loan Benefits
Benefit #1: The government won’t take your property.
The most obvious benefit to taking out a property tax loan is that you mitigate the immediate risk of losing your property. Nothing is worse for your life, in many ways, than losing your home, business, or property.
Essentially, taking out a property tax loan will get the worst penalties off your back and give you some room to breathe. When you aren’t stressed about losing your house, you can more effectively figure out a plan of action to get the property taxes taken care of. The number one benefit of property tax loans is that they buy you time when you need it the most.
Benefit #2: You can maintain an income stream.
Taking out a loan allows you to maintain your life and income stream while you figure out your financial situation. If the home or other property is foreclosed, you won’t have any ability to keep your family together, keep your job, or keep workers on payroll.
Taking out a property tax loan means that the day-to-day functions of your life can continue while you deal with the issues. If you go into foreclosure instead, your ability to earn money and deal with these issues becomes severely hampered and obstructed.
Benefit #3: Property tax loans are more flexible.
Governments aren’t exactly known for their flexibility when it comes to taxes. They simply tell you how much you owe, and if you don’t have it then you’re out of luck. On the other hand, property tax loans are more flexible and negotiable, and you can usually find a payment plan that works for you.
What this means is that you can immediately pay off your full tax burden to the government and pay it back in a way that works with your lifestyle and income. No other solution to this problem offers you the same flexibility and affordability as a property tax loan.
Benefit #4: You can control spiraling fees and penalties.
While a property tax loan will likely have its own interest, you can at least stop the increasing downward spiral of fees, interest, and penalties that the government imposes on you when property taxes become delinquent. These can keep getting worse and worse, but a property tax loan will have set terms that don’t get worse over time.
For example, in Los Angeles County, there is a 10% fee for late or delinquent property taxes with an additional 1.5% cost per month added to your late bill. That means that this extra cost will just keep going up and up, and you will eventually be liable for all of it. The only way to stop this from spiraling out of control is to pay your tax burden in full with a property tax loan.
Benefit #5: Property tax loans are easy to get.
Lastly, the final benefit of using a property tax loan to prevent foreclosure of your property is the overall simplicity of the process. Typically, property tax loans don’t require major credit checks, lots of paperwork, or tons of time in an office. Most likely, the process will be straightforward and simple, and you might even be able to take care of your tax debt the very same day you come into the office.
If you’re facing foreclosure due to delinquent property taxes, don’t wait until it’s too late. Once the process has begun, foreclosure is difficult to stop and can have far-reaching negative effects on your life. Apply for a property tax loan today and give yourself room to breathe, the ability to pay it back over time, and lower stress.