Paying property taxes in Texas does have its challenges, and there are several solutions if you cannot pay all the due taxes before January 31st. When your property tax is above $3,500, consider getting a property tax loan. Let’s look at the county payment options that might be available.
County Payment Plans offer several options, but they are quite restrictive. Terms are between 12 and 36 months, there is an annual 12% statutory interest, and in most cases the property must be your homestead. If you miss any payments on a county plan, statutory penalties, and collection costs may be applied retroactively.
Property taxes can be paid in four equal installments under specific circumstances. A written notice of intent must be given with the first payment, or the property taxes become delinquent, incurring penalties and interest.
Over-65/ Disabled/ Disabled Veteran Installment Plans Individuals aged 65 years or older, persons with disabilities, disabled veterans, or their unmarried surviving spouses who qualify for an exemption under Tax Code Section 11.22 can pay in installments. Also, partially disabled veterans with homes donated by charitable organizations and their unmarried surviving spouses.
Installment Plans for Properties in Disaster or Emergency Areas Property tax installment payments following a disaster or emergency may be available. Certain businesses, homeowners, other residential property owners, and certain small businesses with property damaged due to a disaster or emergency can apply for this option.
Numerous other payment arrangements can be made through the county besides those discussed above. What are the payment options?
-Deferral Deferred or delayed property tax payments have an annual interest of 5%, while penalties and interest do not accrue as long as the property is deferred. The following persons can apply to defer payment on their residence homestead.
-Split Payments In some counties, you can split your property tax payments by paying one half by November 30 and the other half by June 30 without incurring penalty and interest, if allowed by the taxing unit’s governing body.
-Partial Payments/ Informal Payment Arrangements Can you pay property taxes monthly? Counties often have payment arrangements other than the standard ones, as is the case with Bexar County. They have a ten-month payment plan where equal payments are due beginning in October until July.
Some property tax collectors will allow you to pay delinquent property taxes in installments on a residence homestead. The terms are strict, and if you fail to make the payments, you may not enter into another agreement for two years.
If allowed by a taxing unit, discounts are available for early payments, called a 3-2-1 discount. For example, if your tax is paid in October or earlier, you get a 3% discount, a 2% discount if the tax is paid in November, and a 1% discount if it is paid in December.
Are your balances low, and are you sure you can make the payments? A county agreement is your more cost-effective option. When you need property tax help, consider American Finance & Investment Company, Inc. (AFIC). Our property tax loan payments are, in most cases, very manageable, and you can defer payments for up to 36 months.
AFIC can provide you with an instant quote by completing the form on our homepage. For qualifying properties, we can help you pay off your delinquent taxes and offer you the following benefits:
We pride ourselves on finding solutions to suit the unique needs of our clients. If you would like to discuss our property tax loans, please contact our experienced team at AFIC today.
Rates as Low as 8.0% (8.51% APR*) $25,000 loan,
$750 in Closing Costs, 120 Monthly Payments of $303.32
Get your estimate in under 1 minute!
Fill out the form below to start your loan quote
Proudly Serving Austin (Travis County & Williamson County), Dallas (Dallas County), El Paso (El Paso County), Fort Worth (Tarrant County), Houston (Harris County, Fort Bend County, & Montgomery County), the Rio Grande Valley (McAllen, Pharr, Hidalgo County, & Cameron County), San Antonio (Bexar County), Waco (McLennan County) and the rest of Texas with Property Tax Loans.
YOUR TAX OFFICE MAY OFFER DELINQUENT TAX INSTALLMENT PLANS THAT MAY BE LESS COSTLY TO YOU. YOU CAN REQUEST INFORMATION ABOUT THE AVAILABILITY OF THESE PLANS FROM THE TAX OFFICE.
If you are over 64 or disabled, don’t get a property tax loan, contact your tax office about a deferral.
OCCC License #159698 • NMLS #1778315, 2421751