Homestead Tax Exemption: Central Florida

Are you a Central Florida homeowner? If you own a home here, is it your primary residence? If so, you could be missing out on the opportunity to save as much as $750 annually. In this article, the Erica Diaz Team highlights the Homestead Tax Exemption and how it’s beneficial to homeowners in the county. Our knowledgeable real estate team always has your best interest at heart, helping you to get the most out of homeownership.

If you do not currently reside in Central Florida, maybe moving here is on your radar in the future. Or maybe you do live here and are considering buying a new home in Winter Garden or another Central Florida city. If either of these describes you, the Erica Diaz Team would love to connect with you and show you the area. Contact the team today!

What is the Homestead Tax Exemption?

The Homestead Tax Exemption assists in shielding a portion of a home’s value from property taxes. It can reduce your taxable value on your home by as much as $50,000. In turn, saving you approximately $750 annually. Through the use of a graduated scale, property tax relief is available. If you do receive the exemption, your assessed value (which is used to calculate your property taxes) cannot increase more than 3% annually.

What are the Homestead Tax Exemption Deadlines for 2022?

If you have any interest in filing for the Homestead Tax Exemption in 2022, pay close attention to these deadlines as they are approaching fast. However, if you do miss this year’s deadline, not all is lost, there is a yearly opportunity to file. It does not have to be right after the purchase of a home.

In order to receive the homestead tax exemption for 2022, you must apply before March 1, 2022. If you’re unable to apply by March 1, 2022, you’ll have to wait and apply the next year instead.

How does the Homestead Tax Exemption Work?

Although the Homestead Tax Exemption is available in almost every state, how it’s applied and what type of protection it provides varies. A homestead property is considered the homeowner’s primary residence. This means no exemptions can be claimed on any other property, including homes. Florida law entitles everyone who has legal or equitable title to real estate and if it’s their primary residence to apply for this exemption.

Homestead Tax Exemption Eligibility

To be eligible for the Homestead Tax Exemption you must meet these requirements as of January 1st:

• You must be a U.S. citizen or have a Permanent Resident Card (green card).
• Florida must be your permeant residence.
• You must reside on the property, full time.
• There must be legal or beneficial title to the property recorded in the Official Records of the county you live in.

 

https://www.youtube.com/watch?v=PUJo4wgVVUw

How to File Homestead by County

Orange County

All new homeowners are mailed an exemption packet approximately 6-8 weeks after their deed is recorded in the county records. The packet includes information on how to apply for homestead. If you did not receive this in the mail, or decided after throwing it to file for the Homestead Tax Exemption, you can also call (407) 836-5044 and request for a packet to be mailed to you. There is also an option to download the packet to print and mail in. You can find all of the filing options and information here.

New filing options are available due to the Covid-19 pandemic. The downtown Orlando OCPA office is closed to all visitors and employees are working remotely to keep everyone safe. Filing for the Homestead Tax Exemption is simple with there being 3 methods for filing. You can file online, by mail, or phone in English or Spanish.

There are 3 easy ways to file for the Homestead Tax Exemption:

• ONLINE
• This is the suggested option for filing. It’s safe and simple. In order to make filing online the quickest, easiest, and safest option available, Orange County developed an application that is easily accessible and user friendly.

• 1. Click here to access the online application.
  2. Read the instructions.
  3. Scroll down to the bottom and click “begin application.”
• MAIL
  1. Complete an application, click here to print the application. Click here if you have a combat-related disability.
  2. Click here to review the list of required documents that must be sent in with the application.
  3. Mail it to:

Orange County Property Appraiser
Attention: Exemptions
200 S. Orange Avenue, Suite 1700
Orlando FL 32801

• Phone
  1. Call 407-836-5044

What Do I Need to File?

1. All owners residing on the property and applying for the exemption must provide a valid Florida Driver’s License or Florida Identification Card
2. At least one of the following:
   • Florida Vehicle Registration
   • Florida Voter Registration Card
   • Recorded Orange County Declaration of Domicile (affidavit of residency obtained through the Orange County Comptroller’s Office)
3. Social Security numbers are required for all owners applying and their spouses, even if the spouse does not own and/or reside on the property. Preferably your card or some other document with your number.
4. If you are not a United States Citizen, your Permanent Residence (green) Card (front and back).

Seminole County

Click here to file for the Homestead Tax Exemption in Seminole County.

Lake County

Click here to file for the Homestead Tax Exemption in Lake County.

How Long Will the Exemption Continue?

If you are granted the Homestead Tax Exemption, it will automatically renew each January. This will continue as long as the title does not change on the property and you continue to reside there. If there is ever a change to the title, Florida Law requires a new application. If there is ever a change in the property you must inform the Property Appraiser’s Office.

What if You Move to a New Home?

The moment you move to a new home your Homestead Tax Exemption goes away. If you move after January 1st the exemption will continue for the remainder of the year for the property that had the active exemption.

You can, however, file a new application for the new residents. The entire process will have to be done over for the new property. The deadlines continue to be the same for the new property regardless of the time of the move. Registration will open from January 1st – March 1st the following year.

What is Portability & Save Our Homes?

In 1992 voters approved an amendment to the Florida Constitution known as Amendment 10 or Save Our Homes (SOH). Save Our Homes is an assessment limitation or cap. It limits the increases on the assessed value of a homestead residence. It limits the increase to a 3% change or the price in the Consumer Price Index, whichever is lower. A year after a homestead exemption is granted the assessment limitation goes into effect.

As long as there is no change in ownership, the Save Our Home benefit will continue on the homestead property. This is incredibly beneficial and can provide significant tax savings when there are increases in the market.

Portability is the ability to transfer up to $500,000 of accumulated savings from a previous homestead to the new property. After selling or abandoning your previous homestead you have up to two years to apply for a transfer. It can be done when upsizing or downsizing your property. You may be able to bring your “Save Our Homes” assessment savings accumulated on your previous property (also known as your Portability amount) with you to the new property.

Key Takeaways

• The Homestead Tax Exemption provides property tax relief to homeowners. Approximately saving homeowners $750 annually.
• If a homeowner defaults on their mortgage payments the homestead tax exemption does not prevent foreclosure.
• Almost all states offer the homestead tax exemption, however each states rules and guidelines vary.
• Florida law entitles everyone who has legal or equitable title to real estate and it’s their permanent resident to apply for this exemption.
• Homeowners can only have one homestead since it is the primary residents. They must also reside in the residents full time.
• There are three ways to file for the Homestead Tax Exemption: online, mail, by phone.
• The timeframe for filing for the Homestead Tax Exemption is Jan 1st – March 1st of any given year.

 

Erica Diaz Team – Homestead Tax Exemption: Central Florida

If you live in Central Florida the Homestead Tax Exemption can reduce your taxable value on your home as much as $50,000. In turn saving you approximately $750 annually. In order to receive the Homestead Tax Exemption for 2022, you must apply before March 1, 2022.

If you’re ready to call Central Florida home, contact us today! You can also learn more about buying in Central Florida here.