FLORIDA HOMESTEAD INSPECTION EXPLAINED
Have you purchased or are you tossing around the possibility of purchasing Real Estate in Florida? If you want to know the ins and outs of Florida’s Homestead Tax Exemption...keep reading for a basic breakdown that could save you a good amount of money!
The Homestead Exemption in Florida is important to know about when buying a home. It can be confusing, but Florida is one of the most generous states in the country when it comes to property tax breaks!
What is Homestead Exemption?
In broad terms, it is protection from losing your home to most creditors and you also get a nice tax break on the property as long as you live there. In this sense, it is both physical and financial protection for owning your home as a primary residence in Florida. However, you can only have one primary residence in the state of Florida and if your home goes into foreclosure, it does not protect you from having to give your house back to the bank.
How much do you save with homestead exemption in Florida?
When someone owns property and makes it his or her permanent residence or the permanent residence of his or her dependent, the property owner is eligible to receive a homestead exemption up to $50,000. The first $25,000 applies to all property taxes, including the school district taxes. The additional exemption up to $25,000 applies to the assessed value between $50,000 and $75,000 and only to non-school taxes. (see section 196.031, Florida Statutes)
FOR EXAMPLE: Assessed Value is $85,000
1st $25,000 - is tax free
2nd $25,000 - is taxable
3rd $25,000 - Exempt from non-school related taxes
Last $10,000 - taxable
Additional Property Tax Benefits-
In the state of Florida, if you own your home as a primary residence, you just might qualify for one or more of the following tax benefits: Active Duty Military and Veterans, Benefits for 65 and Older and other available property tax benefits. Go to the Florida Department of Revenue for more detailed information Homestead Exemption Florida Deadline. File for homestead as soon as you close! That way it is done. You won’t see your tax break in the year of closing. BUT you will see it in the following year. Also, once you have filed for Homestead you will not have to file again unless you move, sell, or turn the home into a rental for over 30 days a year.
Please visit the Florida Department of Revenue, your county's property appraiser or talk to your favorite real estate attorney to get detailed information about Homestead Exemption in Florida.