A Dominion Lending Mortgage Broker Explains Property Tax Options

Buying a new home is exciting and also comes with a lot of financial responsibilities. Property taxes are one of these. Aside from your mortgage, paying your property tax is your most important obligation as a property owner. If it's not paid, the municipality can step in and put a tax lien on the property. A Dominion Lending Mortgage Broker in Red Deer can explain the options available to make your property tax payments manageable.

Rolling Your Property Tax into Your Mortgage.

Your Dominion Lending Mortgage Broker can arrange to have your lender collect property tax payments with your mortgage instalments and remit them to the municipality on your behalf. This is an easy way to reduce the number of monthly payments you need to keep track of. You'll still receive a paper property tax bill in the mail, but it will reflect the amounts that have been remitted by the mortgage company. Many financial institutions offer this service. Dominion Lending Mortgage Brokers can let you know which lenders offer it.

Enrolling you in the Tax Instalment Program Payment System (TIPPS)

A Dominion Lending Mortgage Broker can help you sign up for TIPPS, which is a monthly instalment payment plan that lets property owners make monthly payments directly to the municipality. Payments are deducted from your bank account monthly. TIPPS is a great tool for managing your property tax payments so that you're not left scrambling to come up with a large annual payment.

Arranging a Lump Sum Payment

Though many lenders encourage or require borrowers to pay property taxes monthly, if you'd prefer to pay your property taxes once a year, your Dominion Lending Mortgage Broker can make that request of your lender. While this payment option isn't for everyone, it can be a convenient option for property owners who don't want to have to keep track of monthly payments.

Contact us for more information about how a Dominion Lending Mortgage Broker in Red Deer can help you with your long-term financial goals.