What happens if you cannot pay your Real Estate taxes when they are due?

Question

Ours are to be paid in two installments, due in June and September. We haven't paid the June installment yet. What would happen if we wait until September, and then pay the whole amount? Are there late charges? This has never happened before, because we used to have them in escrow until we refinanced last year.

Answer 1

What state and county?  My IL county has same due dates.  Late interest starts for 1st installment after June 1 or 2nd installment after Sept 1, and they will not accept less than the amount due, including any interest.  If any is unpaid by end of Sept, notice of tax sale goes out for the auction in late Oct or early Nov.  After tax sale notice, they do not accept personal or company checks.  If someone buys your taxes, you still have 2 years to redeem your property by paying the tax and interest.  If you have not paid by then, you lose the property to whoever bought your taxes.

Procedures and time limits vary in other counties and states.

You should have been putting an amount similar to your escrow into an account, so you would have taxes when due.  When your lender finds out you did not pay property taxes, they might consider you in default.

Answer 2

There will be late charges, but as long as you pay them within a reasonable time, nothing else will happen.

Answer 3

There will be late payment penalties and interest charges tacked on.  The local tax collector's office can tell you how much they will be.

Don't worry about them taking your home.  While that CAN happen, it generally takes several years for them to even start doing that.  A couple of months late won't trigger drastic measures like that.

Answer 4

I know so many people going through this kind of thing these days and it really saddens me! I would like to offer you some suggestions. Please feel free to contact me via email.

Answer 5

Big time late charges. If it goes too long, they can sell your property to get the tax money back.