Falling behind on property taxes in San Antonio can lead to serious consequences. Unpaid taxes accrue penalties and interest starting February 1 of each year. After enough time, the Bexar County Tax Assessor-Collector can place a tax lien on your property. If taxes remain unpaid for two or more years, the county can initiate a tax foreclosure sale to recover the owed amount.
Penalties and Interest
Property taxes in Texas are due by January 31. If you do not pay by that date, penalties begin accruing. For February through May, the penalty is 6 percent. From June through July, an additional 1 percent per month is added. In August, an additional 1 percent per month continues plus interest on the unpaid balance. By the time a tax delinquency reaches the attorney referral stage, total penalties and interest can approach 30 percent or more of the original tax amount.
Tax Liens
If you do not pay your taxes, the state automatically has a tax lien on your property. This lien takes priority over almost all other liens, including mortgages. A tax lien clouds your title and makes it impossible to sell or refinance your home without first paying the overdue taxes. The lien also shows up on credit reports and can significantly damage your credit score.
Tax Foreclosure
After taxes have been delinquent for two or more years, the Bexar County Tax Assessor-Collector may refer the case to a law firm for collection, which can lead to a tax foreclosure lawsuit. If the court rules in favor of the county, your property can be sold at a tax foreclosure sale to satisfy the debt. Tax foreclosure is a serious legal process, and you have the right to pay the full amount owed up until the sale to stop it.