By Relocation.com Staff
One of the certainties in life is that we all have to pay taxes. Property taxes also called “ad valorem” are locally assessed taxes. The monies collected are used to help pay for public schools, city streets, county roads, police, fire protection and many other needed services.
Generally property taxes are assessed every couple of years so check with your realtor to find out when they were last assessed in the area you are planning to move or relocate. Based on the taxes, you may decide that the area is too expensive to move to as the taxes generally form part of your monthly mortgage to the lender. Lenders generally collect the taxes in monthly installments and pay the taxes when they are due. A lender will also look at the taxes to decide if you can afford the monthly payments. Remember, your monthly payment to the lender will generally include principal, interest, taxes and insurance (PITI).
Taxes are generally paid in advance for the upcoming year, though some counties collect the taxes in arrears. Always check this out. Also, check out when the taxes were last assessed and when they are due for another assessment.
One can also contest and appeal the appraiser’s evaluation. This is done through the local district. An appraisal review board is in place to hear and attempt to resolve these contests.