Dec 9 2017 51403 1

Dated: 12/10/2017

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Understanding Florida Real Estate Taxes 

At the point when people who are hoping to purchase in Florida ask for some information about the taxes, I get a kick out of the chance to inject a bit of humor. I say Florida has no state income tax, so they compensate for it with real estate taxes and speeding tickets (especially Windermere). Speeding tickets is the entertaining part, real estate taxes…not so much!

The real estate taxes that you pay on a home can differ broadly depending on what city and what county  you are purchasing the home in. For instance taxes in 2011 on a $250,000 home in Dade County (Miami region) could be $5188.29, and taxes on the same valued home in Sarasota County could be $3412.59.

Why the distinction? Well, a few components are at play here, but the primary reason is that the taxes will for the most part be higher in areas that are experiencing a quick population growth and rapid housing development.  When uncontrolled or unexpected growth happens, sometimes the local governments cannot meet the needs of the community because they did not plan for it.  They then must raise taxes to meet the needs.  Had they foreseen the growth, they could have utilized the growing tax base from more people moving into the area to expand the amount and level of services that would be required, for example, building new roads and infrastructure, adding new schools, police, fire, and medical services, and hiring more empoyees to direct and run them.

Property Appraisal

The property appraiser's office has the undertaking of putting a value on your home. This will help determine the taxes due. The property appraiser isn't; nonetheless, the person who figures out what your tax bill will be. The local government does that when they set the millage rate.

Fortunately, more often than not, you won't pay taxes on the whole market value of your home. In Florida, property appraisers have an obligation to evaluate your home at "just value." The normal property valuation is focused between around 85-95 percent (yet these are now and then lower and some of the time higher) of what they figure a specific property would sell for. In the event that you just bought a property, you are assessed at 85-95 percent of the sum you paid for it, that is, your purchase price.  

The property appraiser's responsibility includes determining a reasonable range of value that a particular property would sell for. Property evaluations are generally set at the lower end of that range, which is typically around 85 percent. This is a norm that is practiced in most all Florida counties. You should check with the property appraiser's office in the county you are thinking about to get an idea of  where in this range they usually target.

Many individuals ask why the figures of 85-95 percent are utilized and not 100 percent. The lower figures are utilized to take into account closing costs, taxes, and commissions that may have been incorporated into the purchase price, but are not by any means part of the "value" in the home.

Millage Rate

A fundamental component to making sense of how much taxes will be is the millage rate, commonly referred to as “mil rate.” The millage rate is expressed as “mils per thousand.” For example if the millage rate is “22.55”, then you will pay $22.55 per $1,000 of assessed value.

Each tax district sets it’s own mill rate which can be found by dividing the total proposed spending plan of the tax district by the total taxable estimation of all real estate in the district after exemptions are deducted.

You will probably be taxed by many districts (city, county, school, water management etc.)  It's vital to get the entire tax picture deciding where to live. The local property appraiser's office will for the most part be your best resource to determine this.

It is also important to know that Florida real estate taxes are paid in arrears, and if you pay them early, you may get a small discount!

For links to the property appraiser’s offices throughout Florida visit

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