100% p&t tax exempt question

[metallicide]

This is all fairly new to me. I turned in my paperwork for property tax exemption to my local tax assessor and informed my mortgage company. They didnt seem to have a lot of answers. Does the property tax stop the day I filed it? Really confused on how this works. 

[Richard1954]

39 minutes ago, paulstrgn said:

it the price you pay for not having any state income tax.

Yes , but  housing here  in Killeen is more affordable even with the higher property Taxes. 

I grew up in Massachusetts and went back when I retired from the Army in 1986. I had been away so long that all I could get was  entry level wages  as a Computer Specialist was $10.00 an hour,  I could not even afford a home then, and of course the Taxes were out of this world. So in 1987,  I moved to Texas and initially making  $5.50 an hour,  I was able to purchase a home and pay Taxes .  That was 7 houses ago... Now while I don't pay any property Taxes,  I can afford a nicer home.... that I will sell next summer for a great profit, and move closer to my grandchildren in San Antonio.  By the way if I had to pay my Taxes  they would be almost $6000 a year, on a $230,000 home.  Since 2007 , we see what the Taxes would have been and put that money in savings each year.   I anticipate,  dying from my service connected lung disease before my wife, so the funds will help offset the loss of income.   Ironically, I hated Killeen Texas when I was assigned here at Fort Hood, and swore I would never come back,  (been back 6 times since)  well I still dislike Killeen Texas, but  its about the most affordable place in the state,  where I am still able to use my on post retirement benefits.

[Buck52]

The property tax exemption helps us,  our mortgage payment was 1.900.00 month not counting insurance...but we pay a cheaper home Owner's Insurance around 100.00 month  that made the mortgage payment a smooth 2000.00 month  BEFORE THE EXEMPTION.

We add the home owners Insurance to the house payment...but We as DISABLED VETERANS WITH THIS EXEMPTION DON'T HAVE TO BUY THE Home Owners IF YOU DON'T WANT IT......BUT ITS HIGHLY RECOMMENDED TO GET SOME.  OR THE MORTAUGE CO WON'T LOAN YA THE $$$

Now with the exemption the mortgage payment is 1356.00  add 100.00 for insurance 1456.00 month

BASED ON THE COST OF THE HOUSE   WHICH WAS 268.000

Balance is 260.000

Now were going to sell this house for 275.000. MAKE  15000. PROFIT  BUT BEINGS NO ESCROW    ITS GOING TO TAKE ALL THAT 15.000. TO SELL  THE HOUSE   WITH REALTORS FEES AND TITLE COMPANIES fees/REASON WERE SELLING IT FOR 275.00  WE HAD CUSTOM MADE PLANTATION  WINDOW SHUTTERS ON EVERY WINDOW PUT UP INCLUDING 2 GARAGE WINDOWS COST AROUND 8.000,00 WITH MILITARY DISCOUNT  OTHER WISE WOULD HAVE BEEN CLOSE TO 10.000./11.000.00

.   ..THEY SAY IF WE SELL TODAY WE NEED TO BRING 16.000.00 TO CLOSING  SO WE WILL NEED TO PUT IN ANOTHER 1000.00$ To sell the house at closing...which I hate to do that  but were going to buy a house much less  so we can keep those payments down

Edited December 7, 2019 by Buck52

[paulstrgn]

I enjoyed living in Texas, I lived in Arlington and then by Eagle Mountain Lake. My house by Eagle Mountain Lake was supposed to be my retirement home but I got divorced and moved to the Washington D.C. area. The property tax on my last house (and I had not filed for any VA disabilities yet) was $13,000 per year...it was crazy. Houses are much cheaper in Texas for the size and quality it is just the taxes that will get to you. Now I plan on retiring next year and will next spring move to someplace in Florida (probably Tampa area), with being property tax exept it will make buying a house in FLorida much nicer.

 

[Richard1954]

1 hour ago, Buck52 said:

We add the home owners Insurance to the house payment...but We as DISABLED VETERANS WITH THIS EXEMPTION DON'T HAVE TO BUY THE Home Owners IF YOU DON'T WANT IT......BUT ITS HIGHLY RECOMMENDED TO GET SOME.  OR THE MORTAUGE CO WON'T LOAN YA THE $$$

 

Buck, if you have a VA guarantee mortgage, Mortgage insurance should not even come up as it is not a requirement.  I have mortgage insurance from the VA because I have a VA adapted home, so I can get insurance cheaper from VA. ( got it for my wife actually as it will pay entire balance when I die)  But I would never consider a private mortgage insurance. My son did that and it cost entirely  to much.  I pay less than $800 a year for home owners insurance,  and while its added to the mortgage , my payment is still a low $750 a month and I have a 2800 SF home with 2 car garage. 

[Richard1954]

18 minutes ago, paulstrgn said:

Now I plan on retiring next year and will next spring move to someplace in Florida (probably Tampa area)

I have an older sister and younger brother they both live in Clearwater Florida. I have never considered Florida because of  all the Hurricanes.  After being in Texas so long, I don't think I will ever leave the state again.

[Buck52]

10 hours ago, metallicide said:

This is all fairly new to me. I turned in my paperwork for property tax exemption to my local tax assessor and informed my mortgage company. They didnt seem to have a lot of answers. Does the property tax stop the day I filed it? Really confused on how this works. 

You need to check with your Local County Tax Office (tax assessor)         in your county you live, and let the mortgage company know.your exempt ..now is a good time to buy a home or wait until Jan   ..Jan through 1st April is a good time to buy a home and get the property tax exemption.

some county's and /or mortgage companies  won't give the tax exemption if you wait until after April1 st   to try to get the exemption  other wise it will be the following year, but you will be reimbursed for any taxes you pay if you submitted the exemption prior Jan 1st of the new year   but the dead line for most county tax offices is April 1st

the county tax office should let you know what you need to do.

We tell all veterans that have the property tax exemption  to check with their local county tax office for the exemption.

so  make copies of your tax exemption letter and give to the tax office and your mortgage company.  they should handle it for you  but the main thing is  is to let your mortgage company know.  so your payment won't be so high.

Edited December 7, 2019 by Buck52