It’s important to keep in mind that, in the USA, you are liable for paying the property taxes on any real estate you own.
The government spends the tax money on things like roads, parks, libraries, public services and schools.
Typically, the tax burden is determined by the property’s assessed value, while property tax debts create a lien on a home when a homeowner doesn’t pay them. With a lien, the asset effectively serves as collateral for the loan.
Here’s what will happen if you don’t pay property taxes in California
Every state, including California, has a procedure that enables the taxing body to sell a house in order to recover unpaid taxes.
Your property is liable to the power of sale after a maximum of five years have passed after your taxes went into default.
If you don’t pay the taxes by the date the property is offered for sale or acquisition, the property will be sold at a public auction or purchased by a public agency after giving official notice of the impending sale.
Here’s what will happen if you fail to pay your taxes on time
The first payment of your annual tax bill becomes past due and is subject to a 10 percent overdue penalty if it is not received by the Tax Collector’s Office by 17:00 on December 10, or if it is not postmarked by that time and date.
The second instalment becomes delinquent, and brings a 10 percent penalty on the unpaid taxes as well as an administrative fee of 38.06 dollars, if it is not received by the Tax Collector’s Office by 17:00 pm on April 10 or is not postmarked by that time and date.
The same fines and fees that apply to unpaid annual taxes apply if you don’t pay any instalment of a supplemental tax bill by the corresponding delinquency date.
After a tax sale in California, you typically cannot redeem your property
After a home is sold in California, you do not have the option to buy it back. Your right to redeem ends at the close of business on the final working day before the sale date.
The tax collector must receive the redemption amount by that date if you deliver it to them by mail or any other means.
Contrary to several other jurisdictions, California law does not grant a lengthy right of redemption following the sale.
However, your right to redeem is reinstated if your house doesn’t sell or the buyer who purchased it at the sale cancels the transaction.