Save our Homes explained by Cyndee Haydon, Realtor ~ Clearwater, Florida

When working with First-time home buyers and families moving to Clearwater, Clearwater Beach and the Tampa Bay area they usually have lots of questions about how Save or Homes and local property taxes works. Here’s some info I hope you’ll find helpful:

Back in January 1995 the Florida Constitution was amended to create a cap on rising property values which are used to calculate our Florida property taxes on homes and condos. This amendment now limits annual increases of the assessed property value to 3% or to the Consumer Price Index, whichever is lower.  It’s important to note that this cap is applied ONLY to the property value – not the property taxes. Property taxes could actually rise more than 3% depending on your city or towns approved budget.

When a property such as a home or condo is sold any existing property value cap and exemption are removed at the end of that calendar year. Then the property taxes are calculated on the full market value called Just Market Value. ..So, if a property owner applies for and receives Homestead Exemption for 2007, the Assessed Value will be capped in 2008.

Your new home, condo or townhome will then be able to fall under the Save Our Homes cap the second year if :

* this property is your primary residence ,
* you apply for Homestead Exemption by the deadline  and
* you qualify for Homestead Exemption.

You need to be aware that ANY change in ownership will "reset" the Capped Value,  So when you buy a home that has benefited from Save our Homes –you can expect your taxes to increase sometimes as much as two to three times when the value is adjusted to the current Just Market Value.

The biggest mistake I see Clearwater and Tampa Area Real Estate and home buyers make is looking at similar homes in a neighborhood and then selecting the one that has “lower taxes” than the other in the tax records.
 
If homes have a similar price – the taxes will be similar too. Since all purchased property is re-valued as we described above.

We will be posting info on How to calculate Estimated Property Taxes on any property you’re considering purchasing.

Serving Clearwater, Clearwater Beach, Sand Key, Island Estates, Largo, St Petersburg, Safety Harbor, Dunedin, Tierra Verde and the surrounding Tampa Bay area.  Helping with Relocations ~ Waterfront ~ Homes for Sale~ Condos for Sale ~ Townhomes for Sale ~ Villas for Sale~ Luxury Estates

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