Both Greenville and Laurens counties finally got around to issuing the 2018 property tax bills.
As I mentioned in my post earlier this fall, the issuance of tax bills can have a tremendous affect on your real estate closings in Greenville and Laurens County.
HOW IT AFFECTS THE SELLER:
Once the tax bill was issued it became a lien against the property. Since neither the seller nor the seller’s lender has had the opportunity to pay the tax bill, the seller will be charged the prorated share of the tax bill on the Closing Statement (this is done by the seller paying the full 2018 bill on the Closing Statement and simultaneously receiving a credit from the buyer from the day of closing through the end of the year). If the seller has escrowed taxes with their lender, the lender will refund any escrows after closing.
HOW IT AFFECTS THE BUYER:
The issuance of the tax bill can also greatly affect the amount of money the buyer brings to the closing. Prior to the tax bills being issued, the buyer would receive a tax credit from the seller for the seller’s portion of the taxes from January 1 through the date of closing. Now that the bill has been issued the buyer will not be getting the seller credit and the buyer will be charged their share of the taxes from closing through the end of the year. This could result in the buyer bringing more money to the closing table. Hopefully, the lender will also revise escrows downward so as not to hold as much tax money aside.
IF YOU ARE A REAL ESTATE AGENT IN THE GREENVILLE AREA Blair Cato invites you to stop by our Mauldin office at 406-A East Butler Street any Wednesday between 3 and 5 for Wine Down Wednesday. Come see our office, meet our staff and learn more about our team approach.
Photo by TimothyJ