Property Taxes

Pwitty2005 · February 2014

Since there are Summer and Winter property taxes, I assumed that they would be collected at different times of the year. Most mortgage calculators estimate a monthly payment - is that just for budget purposes? My real estate agent told us that we would need to have the full year of taxes paid at closing, but that doesn't seem to make sense with the township's tax author has separate due dates for Summer and Winter taxes...as a first time home buyer, the process seems to get more confusing and require more cash up front with every step (yet every property and mortgage is different, so no one seems to be able to give me a straight answer on a dollar amount or percentage that we need to have or even when we need to have everything within the closing process.) Sorry to rant, but I would love to hear from people who recently went through with a purchase or have a better understanding of when everything needs to happen and what costs are required when.

jtmh2012 · February 2014

The last two houses I've been in, the taxes have been paid quarterly, however, they're collected from you monthly by your mortgage company and put into an escrow account. Normally when you purchase, you're required to "prime the pump" so to speak by putting enough into the account to make sure the escrow has enough to cover the next tax payment when it comes due.

minionlover · February 2014

The bank usually makes you have about a years taxes to ensure there is enough money in the escrow account. You will also have to pay the seller for the taces that they prepaid meaning if they paid tax in January for a period of Jan - June and you bought on April 1, then you would owe the sellers 3 months of taxes.

Property Taxes

Re: Property Taxes

Choose Another Board

Search Boards