Entrust Homebuyers | Real Estate Solutions | Servicing Tennessee

“I’m Behind on My Property Taxes. What’s Going to Happen to My Property?”

By Ben DuBose

Catching up on delinquent property taxes can be pretty confusing. I’ve helped many homeowners facing financial hardship save their houses over the past few years, so I consider myself a specialist on the subject. In this post, I hope to help you understand how the delinquent tax process works in Tennessee’s largest county (Davidson County) so that you can make an informed decision on your next steps. While it may be slightly different in other Tennessee counties, they all follow similar guidelines outlined by the state.

Defining Delinquent Property Taxes in Tennessee

In Tennessee, property taxes are assessed by the county in which the property lies, and the tax bills are sent to property owners every year in October. When you receive your tax bill in October, you have until the following February to pay it without incurring any fees. When a property owner does not submit the total amount due by the February 28 due date the following year, the property taxes become late and are considered “delinquent.”

Miss your payment by the February property tax deadline, and you start accruing hefty interest on the delinquent amount – usually at least 17%. That’s more than the interest of most credit cards!

The Delinquent Property Tax Process in Tennessee

Property tax payments are made to the county’s Assessor’s office. If by February 28 you have not paid your bill – five months after your October bill the previous calendar year – you can still make payments in part or full to the Assessor’s office anytime over the next 12 months, albeit with interest and any fees. *Keep in mind that some cities also collect property taxes in addition to the county tax, which follow the same timeline, but are usually paid to the city’s Department of Finance and Revenue.*

If there is still a balance remaining at the end of 12 months, your property taxes become “delinquent.” That triggers a legal proceeding to transfer the responsibility for tax collection to the Clerk and Master’s office at the Chancery Court. This process racks up more penalties, court costs and fees to your tax bill.

Once your property taxes are turned over for collection, the Clerk and Master’s Office then sets a date to sell your property at auction to the highest bidder. Here is what the schedule for Tennessee delinquent tax properties in 2020 looks like.

 

 

How to Save your Home from Delinquent Property Tax Auction in Tennessee

Be aware that you can pay your taxes plus penalties and reclaim your property at any point up to the moment it sells at the auction block. In all candidness though, if your property taxes reach collection status, consider if you have something you can sell to pay off what you owe. I’ve seen people sell cars to keep their home. Weigh your options because moving forward to process is extremely difficult and costly to reverse.

If you are facing delinquent property taxes in Tennessee, there is no reason to feel vulnerable. Entrust Homebuyers can help you take matters into your own hands! Get empowered with the right information on the best options for your financial situation right now.

We can help you resolve your delinquent property tax issues quickly, before it is too late. I will listen to your personal situation and answer your questions. All our consultations are free, so you have nothing to lose.

Call us today at 615-338-5578, or contact us now.

This article is not legal advice.

 

 

Resources

Clerk and Master’s Office at Chancery Court

1 Public Square, 3rd Floor, room 308, Nashville, TN

615-862-5710

Davidson County Assessor’s Office Auction Site schedule and property list

 

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