Florida Condo?

[Cargile]

This year because of Ian it went up 6%. It use to be that you looked at the property taxes, now it's the HOA fees. Ted

Why would property taxes go up because of a hurricane? I thought that would be an issue between property owners and insurance companies.

 

[Shrew]

Why would property taxes go up because of a hurricane? I thought that would be an issue between property owners and insurance companies.

Because the municipalities maintain seawalls, docks, boat ramps, parks, marinas, beaches, dunes, and other waterfront resources. This includes the streets along the water that the news loves to show washed out. Plus, a large part of the clean up is is handled by the city.

Ian's total cost to Cape Coral was $86 million

$54 million for debris removal
$22 million for emergency protective measures
$10 million for parks, roads, buildings, equipment, and administrative fees.

https://www.naplesnews.com/story/ne...-homes-restaurants-traffic-costs/70028322007/

 

[Cargile]

Because the municipalities maintain seawalls, docks, boat ramps, parks, marinas, beaches, dunes, and other waterfront resources. This includes the streets along the water that the news loves to show washed out. Plus, a large part of the clean up is is handled by the city.
Ian's total cost to Cape Coral was $86 million
$54 million for debris removal
$22 million for emergency protective measures
$10 million for parks, roads, buildings, equipment, and administrative fees.
https://www.naplesnews.com/story/ne...-homes-restaurants-traffic-costs/70028322007/

These are one time expenses I don't see as justified by permanent tax increases. If the county I live in North Central Florida tried this it would not fly. Also, aren't property tax increases voter approved? They are here. Did you vote to increase your property taxes by 6%?

 

[PhilPB]

In Florida, we have Market value and Taxable value. If you are homesteaded, you have valuable rights.
The just value is the property's market value. The assessed value is the just value minus assessment . The taxable value is the assessed value minus exemptions and is the value the tax collector uses to calculate the taxes due.
In our county the Just/Market Value went up almost 14% overall (different adjustments for different areas) while our home's Taxable value went up by 3% because we are homesteaded. Our boatslip Taxable value went up by 10% as it was not our homesteaded property.

 

[dannc]

....
In our county the Just/Market Value went up almost 14% overall (different adjustments for different areas) while our home's Taxable value went up by 3% because we are homesteaded. Our boatslip Taxable value went up by 10% as it was not our homesteaded property.

The market value, as well as the tax rate, is something that, may, or may not be obvious to check when buying property. What should also be investigated is when the market valuations are done. Some areas might adjust every every year but in other places the updates could be done five or more years apart.

One could check the tax on a property and be told the tax rate has not changed so one thinks they know tax for next year. However, if the property undergoes an update to it's market value, and the market has gone up, even with the same tax rate, the property tax is going up. The property tax could go up quite a bit. Surprise. Surprise. Surprise.

 

[O C Diver]

This is sort of how it works:
My property is limited to a 2% assessed value increase, not market value. A lot of homes were damaged or destroyed by hurricane Ian. Those homes are devalued by state law. Those damaged are reduced to their current value, until they're repaired. Those destroyed are reduced to the land value.

All the assessed values are added up. The county budget is then divided by all the assessed land value to create the millage. Multiple the millage to each property's assessed value and you get what your property tax is. It's more complicated than that and there are different line items, but that's basically how it works.

The budget was significantly bigger than the normal increase and the total assessed value of the county was reduced from all the losses, so I got about a 6% increase.

My condo marina was damaged and power was out for a year. So the assessed value of my slip dropped along with the taxes. No worries, it will be fully repaired before the next tax assessment.

Ted

 

[PhilPB]

This is sort of how it works:
My property is limited to a 2% assessed value increase, not market value. A lot of homes were damaged or destroyed by hurricane Ian. Those homes are devalued by state law. Those damaged are reduced to their current value, until they're repaired. Those destroyed are reduced to the land value.

All the assessed values are added up. The county budget is then divided by all the assessed land value to create the millage. Multiple the millage to each property's assessed value and you get what your property tax is. It's more complicated than that and there are different line items, but that's basically how it works.

The budget was significantly bigger than the normal increase and the total assessed value of the county was reduced from all the losses, so I got about a 6% increase.

My condo marina was damaged and power was out for a year. So the assessed value of my slip dropped along with the taxes. No worries, it will be fully repaired before the next tax assessment.

Ted

I was wondering how they were going to handle the property values after Ian. You just explained it. The west coast went through a terrible time with that hurricane.

 

[Shrew]

These are one time expenses I don't see as justified by permanent tax increases. If the county I live in North Central Florida tried this it would not fly. Also, aren't property tax increases voter approved? They are here. Did you vote to increase your property taxes by 6%?

Why bother raging against the machine.....where you don't live??

There is no Income Tax in Florida. There needs to be a reserve to handle emergencies and that reserve needs to grow to fight inflation and needs to be replenished. This is Florida. Tornados and hurricanes are frequent.

 

[O C Diver]

These are one time expenses I don't see as justified by permanent tax increases. If the county I live in North Central Florida tried this it would not fly. Also, aren't property tax increases voter approved? They are here. Did you vote to increase your property taxes by 6%?

I think you're confusing taxes with the county budget. The budget is voted on and approved by your elected officials. I'm not aware of a county in Florida that isn't growing with regard to population. As the population increases, so do services provided by the county such as police, fire department, schools, and many other services. Do you think that your county budget hasn't grown in the last 3 years with double digit inflation?

If you are homesteaded, you enjoy almost a zero growth rate in actual dollars (adjusted for inflation it's actually decreasing). Unfortunately natural disasters happen. In the last 3 years, the rate of my property tax increase is around 10% which is maybe a third of the inflation rate. There's also a likelihood that my taxes may decline next year between new construction and the repair of all the houses damaged by Ian.

Finally, if I sold my house and bought one of the same value, because my homestead exception would reset on the purchase of the new home, my property taxes would be atleast double.

Ted

 

[cafesport]

SOH amendment caps homesteaded property tax at 3%/year. Looking over the last ten years of our condo expenses shows that as the price per sq ft has gone up the expenses as a percentage have been remarkably stable. Ex: purchase price in ’08 200/sf. Costs for utilities insurance hoa fees and taxes have always been between 4 and 5 percent. Taxes have never been more than .8 of that. HOA fees are the big variable, but they have always lagged market appreciation. Boats do the opposite. Last year units in our building were averaging 600/sf, this year jan comps range 630-740/sf. Costs did increase but as a percentage they actually have gone down. New construction 6 blocks away is priced for 3000/sf. Should keep the city awash with tax money for a while.

 

[O C Diver]

SOH amendment caps homesteaded property tax at 3%/year.

While you are correct that it's 3% and not 2%, the cap is on assessed value of your property, not property tax.



Ted

 

[cafesport]

Correct. TRIM notice showed assessed value increase of 3 percent. Millage rates actually down 10 percent over here.