Atlanta, GA · Member since 2021 · 163 posts · 57 votes
Hi BP -
I am closing tomorrow on a property that I recently flipped. I purchased it in July. So total hold time was from July thru November.
I just got a bill from the county for the property taxes ($713.82)
I went online to pay, and saw the $713.82 bill amount was for the entire year of 2022.
Am I stuck with the whole year's worth of property taxes even having owned it for only 5 months??? Or is it like insurance where you pay for 6 months of premium, and then they will send you a check if you don't end up needing coverage for the whole 6 months?
Real Estate Agent · Temple, TX · Member since 2022 · 1k+ posts · 700 votes
3y
When you closed, the title company should have prorated the tax that the sellers owed on the property through the time they were living there. So when you sell, the taxes will be prorated for the whole year since they were previously prorated
Real Estate Agent · Temple, TX · Member since 2022 · 1k+ posts · 700 votes
3y
When you closed, the title company should have prorated the tax that the sellers owed on the property through the time they were living there. So when you sell, the taxes will be prorated for the whole year since they were previously prorated
Contractor · Scottsdale, AZ · Member since 2010 · 2k+ posts · 3k+ votes
3y
Call your title rep. They will probably tell you to ignore the tax bill because it will be squared away at sale. You will see it on your settlement statement.
Lender · PA · Member since 2019 · 533 posts · 461 votes
3y
@Bob S. speaks the truth. Your bill will be prorated so long as your contract has such a clause. The title company will make the adjustments on your settlement statement. Do not pay the bill! E-mail a copy to your agent and the title company. Good luck and keep moving forward!
@Bob S. speaks the truth. Your bill will be prorated so long as your contract has such a clause. The title company will make the adjustments on your settlement statement. Do not pay the bill! E-mail a copy to your agent and the title company. Good luck and keep moving forward!
Accountant · New York, NY · Member since 2015 · 8k+ posts · 3k+ votes
3y
When you purchase or sell a property - the title company is responsible for pro-rating property taxes so you are only responsible for paying the taxes during your ownership period.