Why Become a Florida Resident

Of course, the weather is the original draw to people from other parts of the world. I mean it’s a high of 80 degrees here today in February. What’s not to love? But there are also many financial benefits to living in FL that would make your decision to move to the Sunshine State even more attractive.

 

First and foremost Florida has NO STATE INCOME TAX! We are one of very few US states that can boast this. Moving to Florida from a state like New York can save someone in a high-income tax bracket many thousands of dollars in taxes. This prohibition against collecting an individual income tax is part of the Florida Constitution, so Florida won’t be imposing a state individual income tax anytime soon. A constitutional amendment would be required to change this provision. The state’s constitution also prevents counties and municipalities from imposing any sort of income tax at local levels.

 

As a Florida resident, you also get two property tax benefits if you declare your FL property as your primary “homestead” residence. First, you’ll receive an exemption for the first $50,000 of your home’s value for property tax purposes, except for school district taxes which only receive a $25,000 exemption. There’s also the Florida “Save Our Homes” cap on annual assessments. The cap is set at 3 percent or the change in the consumer price index (CPI), whichever is less. This means that the assessed value of your homestead for property tax purposes can’t increase on an annual basis by more than the change in the CPI or 3 percent if the change in the CPI is more than 3 percent. For example, the change in the CPI is 2.9 percent in 2018, so the 2018 assessed value of a homestead residence can’t increase by more than this. It’s less than the 3 percent cap. The change in the CPI was 4.1 percent in 2008, but the increase was limited to 3 percent because this was less. If you plan to own your home for several years, this can be a huge saving.

 

Now seems like the perfect time to explore Florida homeownership. You know right before Snowpocalypse hits over the weekend. Call us today at (321) 697-8230 to get started!