Residents of Canada who purchase Homes, Condominiums, Vacant Land, or other real property in the State of Florida are not penalized nor do they receive higher property tax rates for being Canadian nationals.

United States residents and Canadian residents who own property in the State of Florida including those who are primary residents are taxed with the same millage (tax) rates that are set by local governments and other taxing authorities.

Canadians who sell real property anywhere in the United States of America are affected by a Federal Law known as the Foreign Investment in Real Property Tax Act of 1980.  This law requires that the sellers pay a 10% tax on the gains from the sale of the property.  There are some exemptions that can be researched on the United States Department of the Treasury website.

The confusion with real property taxation in the State of Florida comes from what is known as the Homestead Exemption and what is known as Save Our Homes that only apply to a Florida residents home that is their primary residence.

Florida property owners who are residents of the State of Florida are able to apply for what is known as the Homestead Exemption that as of January 2008 provides a $50,000 reduction on the taxable value.  This exemption only applies to the applicant's primary residence.  For example if the county determines your primary residence has an assessed value of $200,000 and you qualify for the exemption you would pay property taxes based on a $150,000 taxable value.

Florida residents are eligible and receive the Homestead Exemption on their primary residence also receive what is known as Save Our Homes.  Save Our Homes places a limitation of 3% on annual assessment increases on homestead exempt property.  The taxable assessed value of the property can then not increase more than 3% or the percentage change in the Consumer Price Index.

Starting in 2009 those who own non-homesteaded property including homes, condominiums, and vacant land and other forms of real property which includes residents of the State of Florida are eligible to apply for a limitation of 10% on annual assessment increases.

Property tax rates in the State of Florida are based on the value of the property and the millage tax rates levied by the local governing and taxing authorities no matter where you live in the world.  But if you are a Florida resident you are extended certain property tax exemptions, however these benefits are only available to the primary residence.

Lee County Property Taxes - an analysis of State of Florida constitutional and legislative changes to real property taxation affecting residents and visitors to Lee County.

Cape Coral Taxes Decrease - a look into millage rate changes in the City of Cape Coral over the past ten years.

If you are looking to purchase or sell a home or have questions regarding a future transaction I can be of assistance to you or someone you may wish to refer.  I am able to assist buyers and sellers of fantastically priced properties throughout our market area here in Southwest Florida to include but not limited to Foreclosures, Pre-Foreclosures, Short-Sales, Vacant Land, Waterfront Properties, Single Family, Multi-Family, and Condos.

My market areas include Cape Coral, Pine Island, Fort Myers, South Fort Myers, Gateway, Fort Myers Beach, San Carlos Park, Island Park, Lehigh Acres, Estero, and areas surrounding Florida Gulf Coast University (FGCU) and Southwest Florida International Airport (SWFIA).

Please contact me direct at (239) 340-1384 or via e-mail Scott@The-Extreme-Team.com.

Scott Slocum, REALTOR®
Florida Future Realty Inc.
2816 Del Prado Blvd South, Unit 2
Cape Coral FL, 33904
Direct: 239-340-1384
Scott@The-Extreme-Team.com
Scott's Real Estate Web Page
Scott's Real Estate Blog

"Copyright © 2008 by Scott Slocum. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed without the written consent of the author."