The Benefits of Filing For Homestead Exemption In Florida

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One of the biggest benefits of buying a home in Florida is filing for homestead exemption. You are eligible for homestead exemption in Florida if you are closed on and living in your property on the first of the year. In this blog, we examine the benefits as well as the process of filing for homestead exemption.

Benefits Of Homestead Exemption

Homestead exemption decreases the assessed value of your property by up to $50,000, which decreases your tax liability at the end of the year. Additionally, it caps future increases to your property taxes by no more than 3% per year.

How To File For Homestead Exemption

So, how do you file? Well, it depends on the county in which you live. Typically, you can file in person or online. Check with your specific county to ensure you have the correct documents and filing process.

When To File For Homestead Exemption

The deadline to file for homestead exemption is March 1st of the year in which you’re filling. If you purchased your home with us, we will be sending you an email reminder to ensure you don’t miss out on this incredible benefit of owning a home in Florida.

Overview of homestead exemptions

A homestead exemption is a legal provision that can reduce the property taxes owed on a primary residence. It is available to homeowners who use their property as their primary residence, rather than as a second home or investment property.

Here’s how a homestead exemption typically works:

  1. Reduction in Assessed Value: The homestead exemption reduces the assessed value of a homeowner’s primary residence for property tax purposes. The assessed value is the value assigned to the property by the local tax assessor’s office, which is used to calculate property taxes.

  2. Tax Savings: By lowering the assessed value of the property, the homestead exemption can result in significant tax savings for the homeowner. The exact amount of savings varies depending on factors such as the value of the property, the tax rate in the area, and the specific terms of the homestead exemption.

  3. Qualifications: To qualify for a homestead exemption, homeowners must meet certain criteria, which vary by state and local jurisdiction. Common requirements include owning and occupying the property as the primary residence, being a permanent resident or citizen, and applying for the exemption by a specified deadline.

  4. Application Process: Homeowners must typically apply for a homestead exemption with their local tax assessor’s office or county appraisal district. The application process may involve providing documentation to verify eligibility, such as proof of residency, identification, and property ownership.

  5. Renewal: In some areas, homeowners may need to renew their homestead exemption periodically to continue receiving the tax benefits. This may involve submitting updated documentation or confirming continued eligibility with the tax assessor’s office.

  6. Additional Protections: In addition to property tax savings, homestead exemptions may offer additional protections for homeowners, such as protection from certain types of creditors or restrictions on property tax increases.

Overall, a homestead exemption can provide valuable tax relief for homeowners who use their property as their primary residence. It’s important for homeowners to understand the eligibility requirements, application process, and potential tax savings associated with the homestead exemption in their area.

 
 
 
 
 
 
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