Broward County homeowners are facing rising property taxes and valuations, a trend mirroring increases seen across South Florida. While higher property values can be a positive indicator of market strength, they present a "double-edged sword" for many residents, potentially leading to increased tax burdens.
Property Value Surge
Broward County has experienced a significant 9.2% increase in the taxable values of properties throughout the county. This marks a continuation of the upward trend in real estate valuations. Cities like Oakland Park and West Park are among those that have seen some of the most substantial jumps in home values.
Impact on Tax Bills
The rising property valuations directly translate to higher tax bills for many residents. Homeowners who have recently purchased property or own newly constructed homes are likely to feel the most immediate impact. Broward County Property Appraiser Marty Kiar explained that new construction can be taxed at a significant amount.
- New Homeowners: Individuals who have recently bought homes, especially at current market prices, will see their tax obligations reflect these higher valuations.
- New Construction: Properties with new construction are also subject to higher tax assessments.
Understanding Exemptions and Caps
Fortunately, several measures can help mitigate the impact of rising property values on tax bills. The homestead exemption is a crucial tool for homeowners, limiting how much their assessed property value can increase annually. The "Save Our Home" cap restricts annual increases to the lower of 3% or the Consumer Price Index (CPI) change.
However, it’s important to note that when a homesteaded property is sold, it is reassessed at its current market value. This means that non-homesteaded property owners, including those who have recently purchased homes, are more likely to experience significant increases in their tax bills.
Market Outlook and Advice
Real estate analysts suggest that the combination of increased property taxes and rising insurance costs could potentially lead to a shift in the real estate market. Some predict a transition from a strong seller’s market to a more balanced buyer’s market in the coming months. Homeowners who believe their property’s assessed value is too high are encouraged to contact their county appraiser’s office and consider filing an appeal with the county’s Value Adjustment Board. TRIM notices, detailing proposed property taxes, are expected to be mailed in August.