To everyone here at GA. Thanks for the encouragement.
🏡 Local WIN 🏘️
For the past couple of years I have been working on paying off my mortgage and being debt free. My wife and I both wanted to do this. It was not always easy but we keep plugging away. Today was my last mortgage payment. We now own our house free and clear. We have no other debt.
For anyone reading this that is still on the path to being debt free. Don't give up. Is it hard at times but no matter what anybody tells you it is worth it.
No one knows what the future holds (Until the real President is back in office). We are very concerned that inflation is going to get really bad. Hopefully not having debt will make it easier to deal with rising prices.
Anyway once again. Thanks everybody.
Our property taxes were never included in the mortgage payment. It was always separate and sent to us by the county every October and still is.
Our property has been paid off for over a decade now.
Certainly. It may be different in your state or county. I have bought tax liens and deeds in three states and the one of the most common scenarios for a property being lost to non payment of taxes is it was 'free and clear'. Really devastating when a property that was paid off becomes encumbered again by debt just due to people not understanding their financial responsibilities change but don't disappear when your mortgage is paid off. What should be wealth creation becomes wealth destruction when this happens.
True. There are so many out there that do not understand how property taxes work or that they even exist.
If you put enough down when buying the house, the bank won't require you to escrow the taxes and property insurance.
When you say you've bought tax liens and deeds, do you mean you've literally acquired houses (or real estate of some sort) just by paying the back taxes?
No, I've bought them at auction where the starting bid was the back taxes. Some counties handle the foreclosure prior to the auction and some counties require you to foreclose and still others require a time period before you can take possession. But I have seen many homes that were 'free and clear' be lost to taxes so I am just trying to spread the word that free and clear doesn't mean free and clear.
Oh, thank you. I wondered how it worked. So let's say someone is behind $10,000 on their property taxes. The county sets up a sale and you come to bid. The bidding starts at $10,000. And it could go up quite a bit more than that. So let's say the house finally 'sells' for $70,000. Who gets the $60,000 profit? Does that go to the owners who are losing their house? Or does the county just keep it?
I have heard that even if you do acquire a house that way, the people who lost it can may be able to get it back. So like you said, some counties require a time period before possession. Is that because the original owner is given a chance to get it back? And if so, how does that effect you? Do you get the money you invested, back? Thanks for your help. I've always wondered about things like this and adverse possession, squatting, etc. Some things like those just mentioned, seem so weird and unfair. Appreciate your explanations.