Local governments can seize and sell a home if the owner falls behind in property taxes & fees.   This process helps governments make ends meet at a time when property values are lower & the weak economy is squeezing tax revenue.  Tax debts as low as $400 can cause folks to lose their homes because of arcane laws & misinformation among consumers, according to John Rao, an attorney at the National Consumer Law Center.  It is impossible to figure the number of homes sold in TAX LIEN SALES, as the information is spread among thousands of local govenments.  In Florida alone in 2008, $2 billion worth of tax liens were sold.  Many older Americans use the equity in their home as collateral for reverse mortgages and other methods.  Folks must KEEP TRACT OF THEIR PROPERTY TAXES each year and be sure they are paid and not depend on their lender.  People with higher-quality mortgages tend to pay taxes and insurance to their mortgage companies as part of their monthly bills,  but even then the homeowner needs to check to be sure their taxes + their homeowners insurance is paid YEARLY.