Denver homeowners who owe back taxes might not even be aware of the debt, or they might be putting it at the bottom of their list, but it’s still there and can cause a lot of trouble if not sorted out quickly.
Fortunately, ClearSale can help Denver homeowners with delinquent taxes. We understand that circumstances and life events can lead to tax debts, and we will buy your house with cash and help you get out from under it.
Back Taxes: Reasons and Problems
If you have back taxes, you’re not alone. The U.S. Internal Revenue Service (IRS) reported over $114 billion in unpaid taxes, interest, and penalties in 2020. Additionally, in 2021, the total home mortgage debt stood at nearly $12 trillion.
Causes of Back Taxes
There are several causes of back taxes, such as:
- Not filing a return (if you are self-employed, retired, or unemployed)
- Filing an inaccurate tax return
- Failure to pay on time or non-payment
- Unpaid estimated taxes
- Waiting for a tax refund
- Job loss or reduced income
- Accumulation of debt
- Ignorance of deadlines
- Not filing an extension
Additionally, the lack of education on taxes and the complexities of the tax code can lead to back taxes.
Problems With Back Taxes
Delinquent taxes can have serious consequences, such as:
- Fines and penalties
- Tax liens on your property
- Levies on wages or bank accounts
- Inability to obtain a loan or mortgage
- Losing your federal benefits
- Lower credit score
It’s crucial to deal with back taxes before it can get out of hand. There are many ways to catch up on delinquent mortgages. When dealing with delinquent taxes, it’s best to seek professional help to avoid serious consequences.
Access Trapped Equity
Trapped equity is the amount you cannot access in your house for several reasons, including having back taxes or late mortgage payments. If you can’t use your house equity because of delinquent taxes, then it is quite literally trapped within the walls of your home.
There are several ways to access trapped equity, including short sales, loan modifications, and cash-out refinances. However, you might have to consider selling your property to avoid increasing tax debts if you owe back taxes.
Sell It Fast to Clear Sale
Getting out of debt doesn’t have to be a long, drawn-out process. If you owe back taxes, ClearSale can help you access trapped equity by buying your house in cash and freeing up the money you need to pay off your debt.
If you’re worried about the state of your house, don’t be! Here at ClearSale, we buy houses in any condition! No need for additional repairs or renovations — we’ll purchase your home from you precisely as it is.
We can have the cash you need in as fast as seven days to start sorting out your back taxes and other financial problems. We’ll ensure the process is stress-free so you can start fresh with a clean slate and no more debt.
Find Out How Much Cash You Can Get Today
Having back taxes on your Denver home is like getting toilet paper stuck in your pants or the bottom of your shoes. It’s embarrassing, uncomfortable, and the last thing you want people to see.
That’s why ClearSale is committed to helping Denver homeowners in this predicament because we buy houses Denver. We can get you out of debt quickly and allow you access to trapped equity to help you start over with a clean slate.
Contact us today to learn more about how ClearSale can help you eliminate your back taxes.