[adicus75]

Hi,

Used to live in Safety Harbor, moved to the west coast, miss FL and now are moving back in the next 1-2 years. We are a little appalled at the price increase in taxes and hoi. Has anyone, (meaning an official of some sort that is thinking relief for these people foreclosing) talked about lowering it or helping new people who want to buy homes not get scared and run off from buying in FL again?

Any insight on this? I am hoping by the time we are ready to come back, it will have eased up a bit.

Thanks!

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[chisoxfan]

The state Legislature passed laws in a special session in January that will lead to rate reductions starting around June 1. The reductions should range from 5%-25% depending on who your insurer is (several carriers already have filed for rate reductions in the 10%-20% range).

The downsides are (A) in few cases are rates being rolled back to pre-2004 levels (which might have been too much to expect, given all the recent hurricanes), and (B) under the new laws, all Florida residents could be assessed to make up for deficits in Citizens Property Insurance Corp. and the state catastrophic insurance fund if Florida is hit with a Katrina- or Andrew-type storm.

Property taxes are shaping up as the biggest issue in the legislative session that begins next March. Many possible remedies are being discussed (the one getting the most attention at the moment is eliminating property taxes and increasing the sales tax to 9%).

Insurance and taxes are worth keeping an eye on if you are contemplating a move to Florida in the next year or two as they will continue to be hot-button issues.

[vpcats]

I think I have a bigger problem with increased sales taxes than with property taxes. Property tax is at least tax deductible and it is helpful to take that deduction, at least for me. I also have homestead exemption though. I know I have NOT moved elsewhere in Miami or other parts of Florida because the high property prices would bring much higher property taxes than I currently have and that's not nice. :-(

The sales tax???? Well they extended the deduction for this year but what about next?

What would be the advantages of one or the other?

[Need_affordable_home]

If they did away with property taxes, you can move anywhere within Florida and pay zero property taxes as long as you own only one home and no other home in Florida or elsewhere in other states.

[vpcats]

Originally Posted by Need_affordable_home

If they did away with property taxes, you can move anywhere within Florida and pay zero property taxes as long as you own only one home and no other home in Florida or elsewhere in other states.

What happens if I have two properties?

[pianogal]

Originally Posted by vpcats

What happens if I have two properties?

According to the article in today's Orlando sentinel...you would not pay any property taxes on your primary residence and would receive up to a 20% discount on taxes on your vacation/secondary residence. If you rent that residence you would be required to pass that savings along to your renters. Also the rate increases would be regulated in some fashion to correspond to inflation.

I'm all for it....I would much rather pay extra sales tax - which is also deductible on Schedule A of the federal taxes. I'm paying far more than my share of property taxes IMHO! The current system is completely unfair to anyone and yet I can't see our older people being forced out of their homes if they take away SOH, this is the best solution I've heard so far.

[ylisa7]

There is no way all property taxes will be cut out. The state is having money
problems now.

They are not going to be able to make that happen. The state of Fl received the highest revenues from property taxes in the past few years than they ever have, because of rising home prices, and they were still crying the blues.

I'm sorry, but when does the gov't do something good with no cost later on?
Don't plan on it. They will take it from you some other way.

Lisa

[mattvj5]

younglisa...I know it sounds too good to be true...but remember it includes a increase in sales tax of 2-4% making us have the highest sales tax in the country. 8-9%
They will make more money this way because everyone buys stuff, tourists, renters ect...not everyone owns a home so not everyone pays property tax...

I think they know many people are renting and right now and not paying property tax's...I am sure a portion of their rent goes to it though..

Just my 2 cents...but i also think it will get changed somehow before we vote on it

[firemed]

Originally Posted by mattvj5

younglisa...I know it sounds too good to be true...but remember it includes a increase in sales tax of 2-4% making us have the highest sales tax in the country. 8-9%
They will make more money this way because everyone buys stuff, tourists, renters ect...not everyone owns a home so not everyone pays property tax...

I think they know many people are renting and right now and not paying property tax's...I am sure a portion of their rent goes to it though..

Just my 2 cents...but i also think it will get changed somehow before we vote on it

Renters are paying the owner who is paying the taxes. If the sales tax is 8-9% People would buy most everything they need online from out of state forcing the closing of thousands of businesses. The only thing this would do is increase the business in other states. I don't see this idea working at all without further desecrating the economy. Do you think tourist are going to flock here knowing they're paying the largest sales tax in the united states? We created a monster and theres no easy fix, the economy needs to get back to fundamentals. people just need to learn to live within thier means. The pizza delivery guy does not need to drive a bmw. Just think, buy a car or a boat, clothes, Phone, gas, Elc, water, it would go on and on. and pay 9% on top of the price.

[soccermamaof3kids]

Yes but so would the tourists and that would be less money out of our pockets and more funding by the snowbirds