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Maximize Tax Savings with Florida Homestead Exemption

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Thankfully, the state offers the Homestead Exemption, a valuable benefit that can significantly reduce your property tax bill. Here’s everything you need to know about the Homestead Exemption and how it can save you money.

What Is the Homestead Exemption?

The Homestead Exemption is a property tax benefit available to Florida homeowners who use their property as their primary residence. It provides a reduction in the taxable value of your home, which lowers the amount of property taxes you owe. Eligible homeowners can save hundreds to thousands of dollars annually, depending on their home’s assessed value and local millage rates.

How Much Can You Save?

The Homestead Exemption offers up to $50,000 in reductions:

  1. The First $25,000: This portion applies to all property taxes, including school district taxes.
  2. The Second $25,000: This applies to non-school taxes on the assessed value between $50,000 and $75,000.

For example, if your home’s assessed value is $150,000 and you qualify for the full $50,000 exemption, you’ll only pay taxes on $100,000 of your home’s value.

Additional Benefits: Save Our Homes Cap

The Homestead Exemption also includes the Save Our Homes (SOH) cap, which limits the annual increase in your home’s assessed value to 3% or the change in the Consumer Price Index (CPI), whichever is lower. This cap provides long-term savings by preventing large tax increases even if your home’s market value rises significantly.

Who Is Eligible for the Homestead Exemption?

To qualify, you must:

  • Own the property as of January 1st of the tax year.
  • Use the property as your primary residence.
  • Apply for the exemption by the March 1st deadline.

How to Apply for the Homestead Exemption

  1. Gather Required Documents: You’ll need proof of residency, such as a Florida driver’s license, vehicle registration, voter registration card, or utility bill.
  2. Submit Your Application: Apply through your county’s property appraiser’s office. Most counties offer online applications for added convenience.
  3. Meet the Deadline: Applications must be submitted by March 1st of the tax year. If you miss this deadline, you’ll have to wait until the following year to apply.

Portability: Carry Your Savings to a New Home

If you’re moving within Florida, you can transfer your Homestead Exemption benefits to a new property through portability. This allows you to transfer up to $500,000 of the accumulated savings from the Save Our Homes cap to your new primary residence, reducing the taxable value of your new home.

Common Questions About the Homestead Exemption

1. Can I claim the Homestead Exemption on multiple properties?
No, the Homestead Exemption is only available for your primary residence.

2. What happens if I rent out my home?
Renting your home may disqualify it from the exemption, as it must remain your primary residence.

3. Can I lose my Homestead Exemption?
Yes, if you no longer use the property as your primary residence or fail to reapply when required, you may lose the exemption.

Why Take Advantage of the Homestead Exemption?

The Homestead Exemption offers significant financial benefits, making homeownership in Florida more affordable. From reducing your annual property taxes to limiting increases in your home’s assessed value, this exemption is a must for eligible homeowners.

Need Help Navigating Homeownership in Florida?

At Wemert Group Realty, we’re here to guide you through every step of the homeownership journey, including understanding your property tax benefits. Whether you’re buying, selling, or need advice, our team has you covered.

☎ Contact Us Today!
• Email: [email protected]
• Phone: (321) 567-1202

Let us help you make the most of your Florida homeownership experience!