Foreclosure in 89102>Question Details

Goldenee, Other/Just Looking in 89102

Who pays the property tax on a foreclosed home sitting on the market waiting to be sold?

Asked by Goldenee, 89102 Sun Aug 1, 2010

After a bank forecloses on a home and before it is sold or auctioned who pays the property tax when the house is just sitting on the market?

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The owner is supposed to pay property taxes even though he's about to lose his home at the end of the foreclosure, through a public auction. Until someone else becomes the home's owner, the owner gets the bill for taxes. Whether the owner pays the taxes is another thing entirely. Usually, since the owner can't pay the mortgage, he doesn't pay the taxes either. If the lender fronted the tax money during the foreclosure proceedings to protect its investment, the home might be current on taxes.
2 votes Thank Flag Link Thu Aug 20, 2015
Hello Goldenee,

Whoever is on recorded title is responsible for paying the taxes; if taxes are not paid, a lien will likely be placed on the property.

When purchasing a foreclosed home (or any type of home) the Title Company (or attorney) will verify that taxes are up-to-date, otherwise, the seller will need to make current or buyer/seller come to some agreement.



Mark D Fleysher, MBA, Broker, REALTOR
The Jack Conley Realty Group
C. 702-291-8186 F. 702-946-0843
2 votes Thank Flag Link Mon Aug 9, 2010
Thankyou all for your answers, which you have all answered repectfuly, you all pretty much agreed that the bank assumes the taxes on a foreclosed property, but when is the tax paid? While the house is sitting on the market or at the point of sale?
1 vote Thank Flag Link Sun Aug 1, 2010
if your foreclose on,and the sale date has past,and your moving,out of home and ,,gone out of house,do i still have to pay propery taxes,back taxes,, ? live in n.c
0 votes Thank Flag Link Thu May 9, 2013
Owner of Record pays the back taxes on foreclosed properties. Also your attorney will advise you of this and make sure you are informed of any other issues. Buying in an auction make sure to do a title search and ask questions.
0 votes Thank Flag Link Sun Aug 8, 2010
Hello Goldenee....
RE: Foreclosed Properties sold on the MLS with a Realtor:
In Las Vegas the owner of record (Usually the bank on foreclosed properties) pay the all deliquent property taxes.
The same applies....owner/bank will pay for all deliquent HOAs, sewer, water, electric, etc.
All buyers receive clear and good title!

Should you or your friends/family have any Las Vegas real estate needs or questions, pls feel free to contact me at anytime....
Thanks and have a great day!

Julia St. Marie, ABR, RRG, RSPS
Realty ONE Group
Certified REO Specialist
Direct: 702-355-H-O-M-E (4663)
Office: 702-898-0101
Video Newsletter:
0 votes Thank Flag Link Sun Aug 1, 2010
Typically the owner of record is required to pay all outstanding liens. But if your buying at auction make sure you understand the rules and what is in the document you sign. The lenders focus on trying to sell as is and sometimes try to pass costs that you normally think would be the sellers responsiblity.

Good Luck

Keith Manson
First Weber Group
Certified Distressed Property Expert
Metro Milwaukee
0 votes Thank Flag Link Sun Aug 1, 2010
The owner of record pays the taxes. In this circumstance, the bank is paying the taxes. When it is sold the taxes will be pro-rated to the new owner for the number of days that they own the property. So it is very simple. Whoever owns the property, pays the taxes.

Debbie Albert, PA
Coldwell Banker Residential
Web Reference:
0 votes Thank Flag Link Sun Aug 1, 2010
Property taxes are one lien that is not wiped out by foreclosure. The bank will have to pay the back taxes as well the taxes from the time they take the house back until they sell it. If the house is sold to an investor at the foreclosure auction, who ever buys at the auction would be responsible for paying those back taxes. In most communities if taxes go unpoaid for a period of 2 years and some are 2 tars, the town. city or county can take teh property by tax deed for unpaid taxes.
Web Reference:
0 votes Thank Flag Link Sun Aug 1, 2010
Golden it all depends. If the property had a loan on it that was with one of the few hundred that have been closed over the last couple of years and if the new owner of the loan signed a loss share agreement when they took the loan over then "we the people" pay the taxes. If the lender originated the loan and it is not covered by a loss share then they pay them, write it off as a loss on their taxes, and "we the people" pay a little more in taxes to make up for what they are not paying.
So in a nutshell it is all of us in the end no matter how it stacks up.
0 votes Thank Flag Link Sun Aug 1, 2010
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