Richest house in tax default

Photo: Google Maps

The owner of the highest assessed home in the Okanagan is behind on their city property taxes.

So far behind, in fact, the property is one of 59 the City of Kelowna has placed on the auction block.

Each year, the city holds a tax sale for both residential and commercial properties for failure to pay property taxes for the past three years.

The property at 4358 Hobson Rd. has an assessed value of more than $10.5 million.

With taxes, penalties and interest, the owner is on the hook for $161,637.85 over the three years.

However, Angie Schumacher in the city's tax department says the bulk of that bill is for the first two years of the three-year cycle.

Most of this past year's taxes have been paid, except for about $2,000 in interest, which she says is all the property owner needs to pay to be removed from the tax sale. The remainder of the taxes owed must still be paid, or the home will go on the sale list again next year.

The city's tax sale is scheduled to take place at 10 a.m. Sept. 30 in council chambers.

But, before you begin dreaming of getting a home at a fraction of market value, Schumacher says it is very rare for a property to change hands as a result of a tax sale. In most cases, owners make the payment necessary to get off the list prior to the sale.

Last year, there was just one property up for sale.

And, if you do get lucky enough to win a bid, the owner still has 12 months to pay the back taxes and redeem the home.