|
Late taxes mean foreclosure looms for hundreds of Patterson homes |
|
|
|
Written by John Saiz | Patterson Irrigator
|
|
Wednesday, 25 June 2008 |
At a glance
WHAT: No Homeowner Left Behind workshop
WHEN: 8 a.m. to 3 p.m. Saturday
WHERE: Harvest Hall, 3800 Cornucopia Way, in Modesto
Hundreds of Patterson homes are on the fast track to foreclosure because of delinquent property taxes.
City finance director Margaret Souza laid out the situation for the Patterson City Council on Tuesday.
The city has started foreclosure proceedings against 634 homes because of late payments. The city sent letters to homeowners in May stating their delinquency will result in the city foreclosing if the taxes are not paid, Souza said.
 Pi Photo File
The Patterson City Council has sold bonds worth tens of millions of dollars based on anticipated revenue from the tax districts. That money has gone to pay for amenities including the aquatic center and City Hall.
As part of the bond agreement, though, the city has the right to start filing for foreclosure 90 days after late taxes are due, or July 11. Failing to do so could lower the city’s bond rating, possibly preventing the city from getting a desirable return on future bonds, or from bonding at all.
So far, the city has made all the bond payments it has owed, Souza said. Patterson has a good amount of cash available, so the late taxes haven’t stopped it from paying its bills.
In a similar incident last year, the city sent foreclosure notices to 489 homes.
About five of those homeowners still have not paid all or some of their taxes, Souza said.
“There’s only a handful of unpaid accounts,” she said.
However, that doesn’t mean the other homeowners were able to stay in their houses. It is possible that lenders took over many of those properties and paid the late property taxes, Souza said.
In west Patterson, the signs that people are struggling to pay for their homes are obvious, with for-sale signs or auction notices in front of several houses. Souza said 22.8 percent of the homes in the special tax districts have owners who are delinquent on their property taxes.
Help for those in need
To help people through the surge in foreclosures, a group of local people in the mortgage industry will volunteer for a No Homeowner Left Behind workshop in Modesto on Saturday.
Volunteers have hosted similar events in Patterson, but with eight different lenders on hand, Saturday’s workshop should be more in-depth, organizers said.
If homeowners take their relevant paperwork, there’s a chance their loans could be reworked on the spot.
Organizer Peter Kovacs, who owns Patterson-based Guild Mortgage, said Saturday’s workshop could make a real difference for anyone facing foreclosure.
“(The foreclosures) started with people who couldn’t afford their adjustment,” Kovacs said. “It’s morphed into people who are not motivated to pay back their debts.”
Organizers encourage people to show up early and be patient. Previous workshops had large crowds and long waits.
“If you look hard enough, there is a solution,” Kovacs said.
To reach John Saiz at the Irrigator, call 892-6187 or e-mail him at
This e-mail address is being protected from spam bots, you need JavaScript enabled to view it
 |
Subscribe to this comment's feed
