Texas Home Rescuers help homeowners avoid upcoming tax foreclosure.
You may have been contacted by other businesses that provide only one solution, the solution that best meets THEIR goals. That makes us different. We are here to help you understand ALL of the possible solutions, some of which you may not have even considered. Get informed of the pros and cons for each solution below before making the best decision for YOU.
Are you 65 years old or older, or Disabled? If so, the county cannot foreclose for unpaid taxes, as stated in the Texas Property Tax Code, Section 33.06. However, if the county is not properly aware of your status, the tax foreclosure process will continue. To let the county know, start by downloading this ‘Tax Deferral Affidavit for 65 or Over or Disabled Homeowner’ form, and follow its instructions.
Pros: When properly submitted and accepted, the property will be withdrawn from the auction. The county will discontinue its pursuit to foreclosure as long as you continue to reside in the property.
Cons: The penalties and fees will continue to accrue. If you, or your heirs, sell the property at a future date, all the accrued penalties and fees will get paid from the proceeds of the sale.
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2. Contact a Texas Licensed property tax lender to get a loan
Any lender in business to loan funds to pay off the property taxes must be licensed, per Texas Finance Code, Section 351.051. Here are a few to consider:
Pros: Once a loan is in place, the penalty, interest, and attorney fees applied by the county stop accruing. Terms of the new loan will have a payment plan with a constant payment amount each month.
Cons: Service fees can be excessive. Interest rates will likely be way higher than average. If payments are missed, the lender will likely foreclose quickly with no option to negotiate.
3. Call the County Tax Assessor to work out a payment plan
Depending on the county, the tax assessor can be flexible on agreeing to a payment plan to pay off the taxes over the next few years. Most likely the plan is accepted with proof of income showing ability to make agreed upon payments. Call your county’s tax accessor to find out what they can do.
Pros: Payment plan will have more favorable terms and interest rate compared to that from a licensed tax lender.
Cons: Making those monthly payments continues to put a financial stress on the homeowner.
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4. Sell to an investor. Texas Home Rescuers cash offers include a delayed move-out date
Contact Texas Home Rescuers to request a cash offer. We will schedule to come out to the property to evaluate its condition and make our highest and best offer. Along with the offer, we agree on a move-out date that meets your needs (up to 2 years after closing). If you accept our offer, we open title with a local title company and close within 2 weeks. Upon closing, you receive the proceeds from the sale directly from the title company.
Pros: The proceeds are useful to you in finding your next home, and the delayed move-out date leaves you plenty of time for moving. We also offer assistance in locating and moving, if desired. We buy in as-is condition so you can leave all the problems behind.
Cons: None
5. Do nothing
Allow the tax foreclosure to complete. The auction will commence as scheduled. The highest bidder will become the new owner of the home. Within 2-4 weeks after the auction, the new owner will receive the Sherriff’s Deed that proves their ownership. The new owner can then post a ‘Notice to Vacate’ on the front door, allowing 3-10 days to vacate (depending on the county). The Sherriff will be scheduled to meet the new owner at the property. The Sherriff will force anyone inside to leave, and the owner will legally remove all the belongings. The locks will be changed and the house will be secured. If anyone enters the property thereafter and without the new owner’s consent, it will be considered trespassing or unlawful entry.
If the property was purchased at the auction for more than the amount owed, the previous owner can petition the county for the excess proceeds. This process takes 30-60 days to complete and for the excess proceeds to be released to the previous owner.
Pros: None
Cons: This is the most disruptive option for those still residing in the property at the time the Sherriff comes to remove them. The purchase price (highest bid) at the auction may not be more than the amount owed, resulting in no excess proceeds.
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Consultation is always FREE. No obligation. No pressure. Give us a call!