At the end of 2009 more than one in ten (10.3%) Texas homeowners were at least one month behind in their mortgage payments.   That’s up about one percent from December 2008 and only slightly below the national average of 10.44% at the end of 2009.

At the end of 2009 2% of Texas homes were in foreclosure; that’s less than half the national average.

What does it mean for your property taxes?

In 2010 property tax code provides that in determining the value of a residential homestead “the chief appraiser may not exclude from consideration the value of of other residential property in the same neighborhood because

• it was sold at foreclosure within three years of the preceding tax year, or
• the market value has declined because of the declining economy.”

Thus, lower taxable values based on foreclosures and neighborhood dynamics can no longer be denied or discounted.  Appraisal districts must value your home as of December 31, 2009.  The effect of foreclosure statistics at year end to the taxpayer seeking reductions can become dramatic in 2010.  That’s why Property Tax Protest incorporates a macro economic market study into each case it presents to the Appraisal Review Board.