If property "owners" either pay "property tax" or are evicted, aren't they really "tenants"?

Question

Isn't the government/I.R.S. the true owner of your property, if they can take it from you, and sell it (er...uh..."rent it," that is) to someone else if you can't make your yearly "payment"?

Answer 1

It usually takes a very long time before they actually will take the property.  And the reason for doing that is to sell it at auction to pay for the outstanding property tax remaining unpaid. It's similar to other situations in which someone's assets may be taken in order to cover forms of debt owed. At least with property tax, there is very little chance of any criminal charges associated with not paying them. From what I've read, your property tax can remain unpaid for several years before they actually take the property.

The property tax itself is just another form of government income. If the property weren't taxed, it would come in the form of higher income or sales tax. I don't believe it in any form involves the IRS since property tax is a local tax paid to the township you live in.

Answer 2

you cannot own real estate, because you can't move it. what you really own is a "bundle of rights" to the property. these rights are controlled by the governing body where the real estate is. for example you may have the "right" to rent rooms but not the right to drill a well. so in effect you are only a tenant.

Answer 3

I agree with "bandit"...  I guess we all just feel better by thinking that we actually own the property. But, hey having the bundle of "rights" is better than nothing.