Florida Real Estate News - 04/16/07
FLORIDA PROPERTY TAXES
The Florida Senate’s property tax plan, unveiled last Thursday, is generating mixed reactions. Proponents of lower taxes say it doesn’t go far enough, while local governments and business interests generally prefer it. It’s clear that there’s one tax change no one is considering, however: the creation of a state income tax.
Florida Real Estate News - 04/13/07
FLORIDA PROPERTY TAXES
The Senate unveiled its long-awaited bipartisan property tax reform package yesterday, and it differs significantly from the House’s plan. The Senate proposal includes a tax rate rollback, a cap on future local government revenue increases, a limited version of property tax portability and a special exemption for first-time homebuyers but no sales tax increase. Both chambers have included Crist’s proposal for a $25,000 exemption on tangible taxes paid by businesses.
Florida Real Estate News - 04/12/07
FLORIDA PROPERTY INSURANCE
Citing large losses and outsized exposure in Florida, USAA will limit its new homeowners insurance business to active duty military homebuyers. The insurer says it will renew existing policies in the state, but only one property per policyholder.
INTERESTING THOUGHTS
Eighty-four percent of U.S. residents say home values will hold steady or increase, despite trends to the contrary, according to a Los Angeles Times/Bloomberg poll. Nearly a third of those surveyed this month predicted home values in their localities would rise in the next six months.
Florida Real Estate News - 04/11/07
HURRICANE INSPECTIONS
Florida’s CFO Alex Sink announced yesterday that the state’s free hurricane home inspection program would resume within two weeks. Sink also announced the names of companies in the state, by area, that won a competitive bid process to conduct the local inspections.
FLORIDA PROPERTY TAXES
As the Florida Legislature grapples with ways to overhaul taxes, special taxing districts and boards also face reform. Statewide, these districts have increased tax collections 110 percent from 2001 to 2006, far more than cities, counties and school boards, according to a study ordered by Gov. Charlie Crist.
Florida Real Estate News - 04/10/07
FLORIDA PROPERTY TAXES
Gov. Crist yesterday signed HB 333, which gives counties the ability to create an additional homestead exemption for low-income seniors. Calling it the point of the spear in his fight against high property taxes, Crist also suggested that the current session could be extended or a special session called later if legislators don’t drop taxes like a rock before the session’s scheduled conclusion on May 4.
CITIZENS PROPERTY INSURANCE
SB 2498, which would allow Citizens Property Insurance Corp. to expand further and solidify its tax-exempt status, moved forward Monday, gaining approval from the Senate Banking and Insurance Committee. The bill allows homeowners to opt for coverage from Citizens, the state-run insurer, if they have an offer from a private insurer that’s 15 percent higher.
Florida Real Estate News - 04/09/07
CITIZENS PROPERTY INSURANCE
Citizens Property Insurance Corp., the state’s insurer of last resort, saw its reach expanded during the Florida Legislature’s special session in January, and it might expand even more. Gov. Charlie Crist and several lawmakers are promoting a Senate bill that paves the way for Citizens to become a full-fledged insurer.
Florida Real Estate News - 04/05/07
FLORIDA HOME SAFETY
A new law, crafted during the Florida Legislature’s special session in January, calls for the creation of a system to rate each home’s ability to withstand storm winds. Lawmakers are working out the details, and one proposal received backing yesterday from the Florida Office of Insurance Regulation.
FLORIDA PROPERTY TAXES
If home prices in a neighborhood fall, non-homesteaded property owners could see a property tax decrease while homesteaded owners pay more. Under the Save Our Homes cap, tax cap values for homesteaded homes can continue to rise 3 percent annually until they reach market value.
Of course, this all depends upon the tax rate (millage rate) that are established by the various governmental units.
Remember that property taxes are assessed value times the tax rate!
Florida Real Estate News - 04/03/07
SUBPRIME MORTGAGES
New Century Financial, the nation’s second largest lender specializing in subprime loans, filed for bankruptcy protection yesterday. While 50 lenders have filed for bankruptcy recently, New Century’s fall from grace shook stock traders who watched it go from Wall Street favorite to financial pariah.
CONDO-HOTELS
A few years ago, condo-hotels practically sold themselves, but the market has changed. The slowdown has given pause to many condo-hotel buyers, according to industry experts, who say that the general public now has a wait-and-see attitude.
Another important point for purchasers of condo-hotels for prospective buyers is to read the documents very carefully and have a full understanding of them.
Florida Real Estate News - 04/02/07
FLORIDA PROPERTY INSURANCE
An arbitration panel ruled Friday that Nationwide Insurance Co. can increase its statewide average homeowners insurance rates by 54 percent. But regulators say the actual amount should be less based on new laws passed during January’s special session of the Florida Legislature.
Florida Real Estate News - 03/30/07
FLORIDA PROPERTY TAX REFORM
Florida voters are split on a House plan to exchange property taxes for a higher sales tax with slightly more opposed, according to a recent poll. But a clear majority (69 percent) like the idea of rolling back local government spending to 2001 levels.
Why roll back local government spending to 2001 levels? This would force local governments to look at layoffs. In some cases, the local governments are understaffed due to the wages now being paid or issues with affordable housing for the county employees. If positions are unfilled, then the next thing to look at cutting are supplies and materials.
I have stated time and time again - zero based bugetting is a solution. Also, maybe consideration should be given to citizen oversight review, operational audits, and managerial audits to cut the chaff from the wheat.
MORTGAGE RATES
Mortgage giant Freddie Mac reported Thursday that 30-year, fixed-rate mortgages averaged 6.16 percent this week, the same as last week and near the lowest levels for the year.
WORKFORCE HOUSING
A bill to minimize property taxes for homeowners whose dwellings sit on land owned by a community land trust has been approved by a Florida House panel. A similar Senate bill has yet to be heard in committee.
It seems that master plan for solving the property tax issue needs to be in place first, then make proposals about addition reductions to property taxes.
FEDERAL REGULATIONS
Fannie Mae and Freddie Mac, the nation’s two largest buyers of home mortgages, would be brought under tighter government oversight in a bill that won approval Thursday from a House committee.
Be sure to visit my Naples Florida real estate website, when you are considering buying or selling real estate in the Naples, Bonita Springs and Estero areas of southwest Florida.