People Battling With Foreclosure Will Now Have To Face High Taxes

To add to the mayhem people battling foreclosure will now have to face high taxes. The economy is baring its fangs like a mad wolf – foreclosures, plummeting house values, unemployment and now higher taxes. It is worse than flash floods – the latter at least goes away after some time. But in this case there is no sign of light at the end of the tunnel.

The officials of the city are ready to mail the increased bills that will reflect the new property rate. The community group leaders apprehend that there will be a lot of fear and anger once the envelopes are torn open. Mary Dionne of Outer Belt Civic Association said, “Foreclosures are a serious conern and people are scared to death.”

The bills for the majority of the house owners will increase in comparison to the previous year. Tax increases have never been welcomed but this time it is a particularly bad spell of time said Earnestine Johnson of Bay Area Neighborhood Council. People are beginning to ask what the authorities do with the taxes.

The bills will be sent by mail to 45,000 landlords said Deputy Tax Collector Peter L. Sygnator. The payments will fall due from 2nd February. The new rate for residences will be $17.89 for each $1,000 in comparison to $16.03 of the previous year. The average property owner will have to dish out $75 to $100 more towards taxes. The recent business tax is $36.98 per $1,000 in comparison to the previous one of $32.04. The other side of the story is that the value of property fell by 8% because of the failing economy.

House owners as well as the business people are both upset. The high tax rate will not attract business to the state. This will cause the economy to further weaken.

The new tax rate has been confirmed by The Springfield Finance Control Board on 18th December 2008. The Board of Assessors suggested it after holding consultations with the Mayor Domenic J. Sarno. The latter commented that it was fair and balanced towards all the property owners.

Dionne said that the people were angry at the move and many wanted to know who was looking over and watching the finances. Many are wondering how the city can impose new taxes when the quality of their services has fallen. In October Springfield had 70 foreclosure filings – it being more than any other city of the state. Worcester followed close behind with 65 foreclosure postings.