Clearwater Beach Fl Real Estate | Vacation Home Owners and Investors See Property Tax Relief with Proposal

Real Estate Agent with Charles Rutenberg Realty

Property Tax Changes Help Clearwater Beach Condo Investors and Vacation Home Owners 

Waterfront Condominiums on Clearwater Beach Florida 33767Clearwater Beach Florida may see needed relief.

Tallahassee finally made some progress today on the on-going debate about Florida's Property taxes that could actually help our Clearwater beach real estate market, or Clearwater businesses and those Clearwater families who have outgrown their home or need to down-size.

While many Clearwater Beach home owners will debate it's too little and others will say it's just the first step - at least here in Clearwater Beach, Sand Key and Island Estates many of the vacation condo owners are going to see additional property tax relief - and it couldn't come at a better time for many of them.

Island Estates Condos on the water in Clearwater FLoridaFor example these proposed changes address property taxes for the second home owner, vacation beach condo owners and the Clearwater real estate investor by capping their annual property tax increase to 10% (even though many had wanted to see this capped at 5%) which is an improvement and under the new plan they will be seeing some relief and getting some peace of mind. 

I am also happy to see Portability addressed. I have seen too many Clearwater and Clearwater Beach home owners trapped in their current homes and condos because of this.

One example is an elderly couple we know living in Clearwater who approached us about down-sizing due to failing health. When we did the actual analysis for them we found that if they down-sized their Clearwater home their expenses wouldn't change because buying a Clearwater condo half as expensive would have been countered with the huge increase in property taxes. I believe this is a positive step forward, especially for older home owners.

The real questions for me are how much will the homestead exemptions and double exemptions really mean in savings to someone like me. The initial analysis by experts says very little. I'll have to do some more investigating as the details unfold.

Clearwater Beach Florida Update | 4 Key Property Tax Changes Agreed to

These 4 measures below were approved and are on their way to being to put on the January 29th ballot as a new constitutional amendment.   

  1. Portability. Those who qualify to Homestead (it's your primary residence) will be able to take up to $500,000 of Save Our Homes protections to a new home purchase.  If you buy a less expensive home then the amount would be pro-rated. This would applies to all property taxes. 
  2. Double homestead exemption. If  you Homestead you can get a second $25,000 exemption on the assessed value on the value of your homes over $50,000. Note: This does not apply to school taxes. 
  3. A Tangible personal property tax exemption. Businesses could now get a break on taxes paid on equipment.  
  4. 10% annual cap on Property Assessments for all Commercial and Non-Homesteaded property. For those who don't qualify for homestead exemptions (for example vacation home owners, real estate investors, businesses) Property assessments could increase by not more than 10% each year on non-homestead property. 

Stay tuned for more information on Florida Property taxes and how they will effect Clearwater FLorida Real Estate.  

Submitted by Cyndee Haydon, Clearwater Beach Real Estate Agent 

Comments (14)

Chris Griffith
Downing-Frye Realty, Bonita Springs, FL - Bonita Springs, FL
Bonita Springs Listing Agent
Looks like this is a common echo across Florida.  I'd like to see portability, too.  I've been in this house for 12 years and my taxes are quite attractive. :)
Oct 29, 2007 09:26 PM
Susie Roscoe
Signature Realty Associates - Brandon, FL
Real Estate Specialist | Brandon, FL
Cyndee - You are so on top of things!  I watched this on the 11 o'clock news and the reporter announced this decision wasn't even confirmed until 8:30pm!  NOBODY can touch you for "being with the program" for homeowners in Clearwater, FL!  Wow!
Oct 29, 2007 10:44 PM
Lysa Napolitano
Daytona Beach, FL
Cyndee, I was wondering who was going to post about this today. I think the portability is a great idea, I hope it floats!
Oct 30, 2007 01:41 AM
Thomas Weiss
Thomas R. Weiss - West Palm Beach, FL


I have been watching this also!!

Tom Weiss

Oct 30, 2007 02:38 AM
Kaye Thomas
Real Estate West - Manhattan Beach, CA
e-PRO, Manhattan Beach CA
In CA we have prop 90 that says if you are 55 or older and buy a home equal or less in value from the one you sell you can take your old low tax base with you.. Most Counties in CA have approved the bill.. altho there are a few that haven't ... Makes a big difference for people who have lived in a home for many years and want to downsize but don't want the higher tax bill
Oct 30, 2007 03:25 AM
Cyndee Haydon
Charles Rutenberg Realty - Clearwater, FL
727-710-8035 Clearwater, Beach Short Sales Luxury Condos &Homes

Chris - I think this could really help resort property owners who have seen their non homesteaded property taxes sky rocket - not sure it's going to be all that for homesteaded home owners like you and me.  Still watching and waiting to see what happens.   

Oct 30, 2007 03:28 AM
Cyndee Haydon
Charles Rutenberg Realty - Clearwater, FL
727-710-8035 Clearwater, Beach Short Sales Luxury Condos &Homes
Susie - you crack me up - hey got to stay on top of it here - we've got too many beach property owners and small beach businesses that really needed some kind of property cap to keep ownership viable.  
Oct 30, 2007 03:29 AM
Cyndee Haydon
Charles Rutenberg Realty - Clearwater, FL
727-710-8035 Clearwater, Beach Short Sales Luxury Condos &Homes
Lysa - I know you've probably got beach home and condo owners in the Daytona area that need this too. We're all waiting to see what happens. Unfortunately it will take a 60% vote by Florida voters and I'm not sure the average voter will be "excited" about this proposal. - We'll see January 29, 2008
Oct 30, 2007 03:31 AM
Cyndee Haydon
Charles Rutenberg Realty - Clearwater, FL
727-710-8035 Clearwater, Beach Short Sales Luxury Condos &Homes
Tom - thanks for dropping by - we can keep an eye on this together :-)
Oct 30, 2007 03:32 AM
Cyndee Haydon
Charles Rutenberg Realty - Clearwater, FL
727-710-8035 Clearwater, Beach Short Sales Luxury Condos &Homes
Kaye - it will be interesting to see what happens. What we learned last time is any change has it's own unintended consequences - only time will tell. Thanks for sharing what's happening in California - we seem to stay on similar paths. :-)
Oct 30, 2007 03:33 AM
Missy Caulk
Missy Caulk TEAM - Ann Arbor, MI
Savvy Realtor - Ann Arbor Real Estate
10% is outrageous, ours in capped at the rate of inflation. But, the portability is an interesting concept. I hope it flies it would get more people moving and maybe other states would adopt.
Oct 30, 2007 05:14 AM
Michelle DeRepentigny
Success Realty - Athens, GA
Broker Athens, GA
Cyndee, I really hope that Floridians get some relief from property taxes soon. I work with a lot of buyers relocating from Florida to Georgia and that is the number two reason stated for moving in the past 12 months, topped only by high prices of real estate and followed by weather - specifically hurricane scares. Best wishes!
Oct 30, 2007 09:24 AM
Katrina Madewell
Charles Rutenberg Rlty- More than 5,000 agents(813) 777-1196 - Tampa, FL
Tampa FL Homes for sale | Tampa Bay - (813) 777-1196

We are all anxiously awaiting some type of a relief... 

IS the SOH Tax portabilty only for a new buyer changing to new property moving forward?  any relief for the ones that have already made a move in recent years?

Oct 30, 2007 05:02 PM