Press Release Media & Archives

Commercial Property Taxes Due – Get a Short Term Loan Now

Property Loans Tax Time

Commercial Property Taxes Due

If you own income producing property in the St. Paul area, then you know first hand how hard it has been in the last four years to keep the property viable, pay your primary mortgage and keep up with the property taxes.

Chances are that you, like many other investors, are finally seeing things pick up in your sector and the properties are beginning to pay benefits. In another year, you have solid evidence to believe that you will be in the clear and out from under the black cloud.

Yet, it’s tax time and the state and city are cracking down on back property taxes – especially those in commercially zoned areas – and the last thing you need is to lose your investment to arrearages.

Commercial real estate loans by short-term private money lenders can be a real benefit if you owe several years of back taxes and are in jeopardy of losing your investment property.

The Fallout of Back Tax Forfeitures

Most of the people who own commercial property don’t know how forfeiture on back taxes can affect their loans and property. Often, until they receive notice from the tax department, they fall under the myth that they can just pay a fine and continue to keep their property. This is rarely true.

  • Most property tax laws and regulations allow or require the city, county or state to take your property after a specified number of years of unpaid back taxes.
  • If the governing body files an injunction against your property, the mortgage holders have a right to immediate call in your bank note for full payment.
  • If you allow the action to play out, the governing agency will padlock your door and bar entrance to your parking areas as well.
  • If you have tenants, they will be barred from entry and not permitted access to their personal property or to remove their property.
  • This sets you and your company up for litigation that can easily extend into the next decade.

Many business people are under the impression that they cannot be personally held liable if the business is an LLC. The exception involves tax debt: the government can take all your personal property and that of your tenants. This, also, means that your tenants can file suit against you and take whatever is left of your personal property – and that of your wife and other officers of the LLC.

Your Best Solution – A Real Estate Lender

Yes, the interest rates are higher than a conventional loan but they are considerably less than losing your business and commercial property, ruining your reputation in the community, being sued by tenants who lose their property because of your taxes and facing your wife as you explain why you didn’t find out more about a private real estate loan.

If you own commercial real estate in Minnesota and you need to pay off back property taxes, click on the icon in the sidebar marked “Get More Information” and we’ll get back to you in a jiffy. We’re right here and we’ll be happy to help!

Do you need a Hard Money Loan for your next real estate purchase or refinance fast?