Real Estate Term of the Day: Arrears
ARREARS – at the end of a term. Interest on a mortgage loan and property taxes are the most common items in real estate that are paid in arrears (Barron’s Dictionary of Real Estate Terms)
Property taxes in Colorado are paid in arrears. For example, in 2011 properties in Colorado were re-assessed (for tax purposes) by the county in which they are located in. The re-assessments for each property will affect tax payments due in 2012 (for the 2011) time period.