Soaring Florida Real Estate Market: Property Appraisers Urge Homeowners to Act
Posted on July 19, 2022, at 08:10 AM
Photo: Nattanan Kanchanaprat via Pixabay | Columbia County Florida graphic
Market Overview
The Florida real estate market is currently experiencing unprecedented growth, prompting Property Appraiser Jeff Hampton of Columbia County and his counterparts throughout the state to reach out to homeowners as tax season approaches. With record sales and rising property values, it’s more essential than ever for property owners to understand available exemptions and how to benefit from them.
Rising Property Values
According to Jeff Hampton, there is a surge in sales and values in Columbia County. “We are breaking records with the number of sales and what things are actually selling for,” he stated.
Key Statistics:
- 30% Increase in Property Values: The Florida Department of Revenue reports a staggering increase in property values this year alone.
- 15% Increase in Columbia County: As highlighted by Hampton, Columbia County residents are seeing property value increases of approximately 15% compared to last year.
The Importance of Exemptions
Several counties, including Hillsborough, Pinellas, and Pasco, have joined forces to encourage homeowners to take advantage of Florida’s Homestead Exemption. This option can significantly reduce taxable property value, offering savings up to $50,000 and limiting annual tax increases to a maximum of 3%.
Bob Henriquez, Hillsborough County Property Appraiser, warned that homeowners with non-homesteaded properties might face annual tax increases as high as 10%, a concern for new buyers and rental property owners.
How to Reduce Your Tax Burden:
- File for Homestead Exemption: The best way to decrease your tax obligations is to apply for this exemption.
- Consider Property Status: Different rates apply; homesteaded properties are capped at a 3% increase each year.
Understanding the Process
The responsibilities of county property appraisers include assessing property values annually. However, they do not set the millage or tax rates. The relationship between taxable value and tax bills is crucial, as highlighted by Mike Twitty, Pinellas County Property Appraiser:
- Taxable Value: Calculated as taxable value times the millage (tax) rate.
- Market Influence: Property values in hot markets like Tampa Bay affect overall tax bills unless millage rates are adjusted by taxing authorities.
Tips for Homeowners
As home prices continue to soar, it is vital to stay informed and engaged. Here are some actionable steps homeowners can take:
- Submit your Homestead Application: Ensure you’re receiving all eligible tax benefits.
- Stay Informed: You will receive TRIM notices in mid-August, detailing your proposed taxes and upcoming meetings regarding tax rates.
- Visit Property Appraisal Websites: For further resources and assistance:
Upcoming Changes
In January, legislation will increase certain exemptions from $500 to $5,000, providing additional relief for property owners. This change will further elevate the importance of being aware of and utilizing available tax exemptions.
Conclusion
These insights will help homeowners navigate the challenges of a rapidly evolving real estate landscape in Florida. Engaging with local property appraisers and understanding the options available is crucial for effectively managing property taxes and protecting your investments in this thriving market.
Stay proactive and informed to ensure you maximize any available savings!