That means for a house the government assesses as being worth $100,000, they hit you with a $1,300 per year tax bill.  

It is a disaster in our monetary policy where the Government prints $$$.8- Inflation: What does that mean?

His social security and retirement funds are also off limits under Federal law.

@Michael Anspach, if he does that there's some related party issues as well as the federal interpretation that he is selling to himself since really it is their joint tax return that is the owner for federal purposes. 

Given that their top marginal tax bracket is about 45.4% for Federal and State income taxes, they get about $1460/month in tax refunds from the deductions.

These are utility fees accessed by a municipality or other government entity.

I, for one, will start asking to see a government id to ensure the name on the application matches the person handing it to me.

NFIP (National Flood Insurance Program) administered through FEMA is the government option and has had a monopoly for 50 years and due to this has driven up the cost. 10 years ago the president and both houses signed into law that the market is now open to private flood insurance companies (usually backed by Lloyds).

I looked up the deeds to the property and there was a Notice of Default given out May 2012 and then a Trustee Deed signed October 2012 by a FEDERAL HOME LOAN MORTGAGE CORP as the Grantee.

@Julia ParslowYou are correct that the contingent deferred sales charge may not apply if you have had the annuity for a certain number of years; however both federal, and depending on your state of residence, state taxes will apply if you take a distribution.