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The Wall Street Journal: Florida Hones Plan to Overhaul Property Taxes

May 31, 2007 by Lucas Lechuga
Yesterday, The Wall Street Journal published an article that most of you will find interesting. The article is entitled "Florida Hones Plan to Overhaul Property Taxes". It discusses a proposed property-tax relief plan that could provide a second wave of buying throughout Florida. There are a number of homeowners in Florida who would like to upgrade to a newer home but are unable to because their property tax bill would skyrocket. For example, Miami Democrat Dan Gelber, who is mentioned in the article, says that his property taxes would go from $7,000 per year to more than $20,000 per year just by moving across the street to a similar home. Several state governments in the United States are working to provide property-tax relief to homeowners but Florida's proposed property-tax relief plan will by far provide the greatest benefit. The plan could provide over $30 billion worth in property-tax relief to homeowners over the next five years.

In talking with clients in the last couple of months, it seems that most are awaiting word from the state legislature to see what they decide. The last two weeks real estate activity has been quiet as everyone waits for the state legislature to convene in mid-June. There is no doubt that this could be the catalyst needed to reinvigorate the current stagnate real estate market throughout Florida. Let's keep our fingers crossed. I will provide further updates on this topic as new developments become available.

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