2019 California Property Tax
Property taxes are applied to all standing structures and buildings. It is one of the many mandatory responsibilities a homeowner assumes when they purchase a home. The deadline for paying property taxes without accruing penalties is tomorrow, Wednesday, April 10th. Keep in mind that the base penalty for missing this deadline is 10% of the property tax. Kingston Mortgage professionals put this article together to address all property tax inquiries.
What is Property Taxes?
Property taxes are fees paid to the local government to help maintain a city and its infrastructure. Although property taxes varies amongst jurisdictions, it is typically around 0 and 4% of the property’s value and imposed by the local government at a municipal or county level. Property taxes are based on the home’s value and is set by the county, with a maximum increase of 2% each year. However, if the property is bought or sold then the property tax may adjust to a percentage other than 2%.
How Does Property Tax Work?
The homeowner will receive their bill in the mail. Usually, the bill is sent two to three months before it is due in order to give the homeowner time to prepare for it. Once the homeowner receives the tax bill, they have three options for submitting the payment. The homeowner can pay the bill either online, in person, or by mail.
Property tax is split into two installments to make the cost easier on homeowners. The first payment must be paid off between February 1st and April 10th. The second payment must be paid in full between November 1st and December 10th. If a homeowner misses these deadlines they will fall into delinquency. Once a homeowner falls into delinquency, they are penalized at least 10% of their property tax. If the homeowner misses the deadline of 2 or more payment periods, then they will receive notice that a lien has been placed on their home.
What is included in Property Tax?
Local government uses the money raised by property taxes to fund education, public servants, community services and, road and highway construction. In general, public schools benefit the most from local property taxes. Other examples of local infrastructure supported by property taxes include libraries, government offices, police, and fire protection. In some areas, property taxes may also include utility costs provided by the county and municipality.