Well, as of last week, we signed the concluding paperwork for the 353 Tax Abatement Program in our area. As we were getting ready to leave, the head of the program for the City advised us to call our mortgage lender. She said we should be able to tell them that we just finished up on a Tax Abatement program and that we’d like them to:
a) NOT pay this year’s real estate property tax bill (which I’m sure they were about to do; it’s time).
b) REFUND us that money.
I THOUGHT I was going to have a rough time explaining it to them. But after giving my initial speech to Bank of Kansas City Mortgage, and then sitting on-hold for 5-10 minutes, they came back and basically said “no problem”.
We still will be responsible for paying property tax on the LAND, but my understanding is that that’s maybe $100 per year. Not a big deal.
Note also that we get a totally-separate PERSONAL property tax bill from the City and the County each December. That’s for our cars. That’s unaffected by this. (I know some places in the US do not HAVE such an annual tax.)
So, we’re breathing a sigh of relief that we can now relax and not be on a time-table of spending and work. The City will still come out and inspect us once every 5 years for the next 25 years, to make sure we’re not “letting the place go”. That’s a bit of a bugger, but understandable. However, they NEVER said this up-front, before we signed up for this program, I might point out.
With our mortgage payment savings now (due to the tax abatement), well, we’re just going to keep paying the same house payment we’ve been making, so that extra money will go to principal. Hopefully, that will result in an extra 1.5 – 2 payments per year.
My wife’s now talking about remodeling our first floor bathroom next. It’s dated and the sink and tub faucets are annoyingly hard to manipulate and tend to drip. Plus, the cabinets aren’t very efficient storage. And the toilet needs replacement. So perhaps we’ll be able to plug a few bucks into that next year.
Thanks for stopping by!
-= Dave =-