If you’re a homeowner in Florida, there are several types of homestead exemptions that can be claimed on a property that could potentially save you big money. As every homeowner quickly learns, every penny counts! Homestead exemptions are pain-free ways to potentially save thousands of dollars on your home. Don’t miss out!
Here are some important details to consider regarding homestead exemptions in Florida.
What is a Homestead Exemption and What Types are Available in Florida?
A homestead exemption is a valuable tax break available to homeowners across the country, including Florida. There are several types of homestead exemptions, the most common being the homestead exemption for primary residences. The assessed value of your property will determine the exact amount of your exemption, but could be as much as $50,000.
For Florida specifically, a $25,000 exemption is put toward the first $50,000 of the assessed value if the home is your permanent residence and you owned the property on January 1st of the current tax year. The exemption is applicable to all taxes, which includes school district taxes. Additionally, $25,000 is applied when the assessed value of the property ranges between at least $50,000 and $75,000. This additional exemption is not applicable to school district taxes.
Other exemptions include the $25,000 exemption for veterans and the $5,000 exemption for blind or disabled persons. To view all available exemptions, contact your county assessor’s office to see what your household may qualify for. If you think you might be eligible for a homestead exemption, contact your county assessor’s office to learn more and to apply.
How to File for a Homestead Exemption
To file for a homestead exemption, you will need to provide some basic information about yourself and your property. You will need to provide the basics — your name, address, and social security number, as well as the legal description of your property. You will also need to provide documentation proving you are the owner of the property and that it is your primary residence. You may not claim a homestead exemption for a rental property, or any property that is not your primary residence. Proof of ownership and primary residence could include a copy of your deed or mortgage statement, or a recent utility bill or tax bill showing your name and address.
Once you have gathered all of this information, you can begin the application process by contacting your county assessor’s office. Most counties have an online application process that you can complete from home. Be sure to submit your application by March 1st to receive the discount.
What Benefits are Available with a Homestead Exemption
The homestead exemption can provide a number of benefits for homeowners. Perhaps the most obvious benefit is it can save you money on your property taxes. With a homestead exemption, you may be able to save thousands of dollars each year on your tax bill. Who wouldn’t want that?
Another benefit of the homestead exemption is that it can help to protect your home from creditors in the event of a financial hardship. If you are unable to make your mortgage payments or if you fall behind on your taxes, the homestead exemption will prevent your lender or the government from seizing your home. This can provide some peace of mind in difficult times.
Finally, the homestead exemption can also provide some protection from future increases in property taxes. With a homestead exemption in place, your property taxes will be locked in at the current rate, even if the value of your home increases over time. This can be helpful if you are planning to stay in your home for many years and want to avoid large spikes in your property taxes.
How to Renew Your Homestead Exemption Each Year
To keep receiving the exemption, homeowners must renew it each year. This can be done by contacting your county assessor’s office and providing updated information about yourself and your property. In some counties, homeowners may receive a receipt in the mail that asks them to confirm some personal information to renew. Regardless, renewal is a fairly simple process for some big savings.
What Happens if you Sell Your Home After Claiming a Homestead Exemption
If you sell your home after claiming a homestead exemption, you will need to cancel the exemption. This can be done by contacting your county assessor’s office and providing updated information about yourself and your property. Once the exemption has been canceled, you will no longer be eligible for the tax break.
Homestead Exemptions are Worth It
The benefits of a homestead exemption are entirely worth the small amount of work it takes to apply. If you’re a new or existing homeowner in the Sunshine State, be sure to take advantage of this simple way to save money and protect your home.
If you’d like to be a Florida homeowner, trust The KIM TILLETT Team to do the HOMEwork for you and find the perfect house on the Space Coast. You can rest assured Kim Tillett and the team will have your best interests in mind – call today!