Property Taxes in Florida: Everything You Need to Know

In Florida, property tax applies to all the property owners, including individuals, businesses, landlords and person’s who inherit property as part of an estate. The property tax system of Florida is unique and different from that of other states. If you own or are planning to buy any property in Florida, you must understand the ins & outs of the property tax system.

In this comprehensive guide, we will explore various aspects of Florida property taxes, how they are assessed, exemptions available, and the impact on homeowners.

In This Article:

How Does Property Tax in Florida Work?

In Florida, property tax is paid by someone-a business or an individual who owns real estate. The property tax depends on the location, size and worth of the home and tax rates set by your local government. The Florida Constitution says that all the property tax rates within the nation are set by the local government of the state. All the revenue collected from those taxes goes to them. The collected property tax funds hospitals, roads, libraries, schools and many more public sectors.

Who Pays Property Tax in Florida?

As we have read above, every home/property owner has to pay property tax in Florida as per the value of their property and tax rates in the city or county. But homeowners aren’t the only people on the hook for property taxes. If you are running any business that owns the property, inherit any property from your loved ones as their estate or has any rental property, you have to pay the property taxes on that property. Another thing about Florida is whether you have a $4000 shack in the Everglades or a penthouse in Tampa, there is no minimum or maximum property tax.

How Is Property Tax Calculated in Florida?

According to a 2024 report by the Tax Foundation, Florida ranks No. 4 on the property tax paid according to house value percentage. The effective property tax rate applicable is around 0.91%. However, not every homeowner living in Florida pays equal tax.

The property tax rate in Florida depends on various factors such as the county you live in, the value of your home and the exemptions you qualify for. The basic equation to determine the property tax is:

(Taxable Value of Your Property / 1,000) x Millage Rate = Property Tax Owed

How to lower your Florida property tax bill?

You might feel worried about the high cost of property taxes in Florida. However, there is no need to worry; Florida offers various exemptions on the property tax that can significantly lower your tax bill if you qualify. One of the prominent exemptions is known as a homestead exemption. So, lets understand this exemption with an example:-

“Suppose you own property and it is your permanent residence, then the homestead exemption may reduce your house taxable value by up to $50,000.“

However, some of the other exemptions present in other groups of folks in Florida are:

Widows and widowers
Veterans and serving military members
Property owners with disabilities
Senior citizens
Properties with specialized uses
Spouses of first responders died during serving the nation

Defense veterans, widows & widowers, and legally blind are entitled to $5000 exemptions.

Conclusion

Having your own property in Florida is an attractive investment opportunity. However, the same comes with various risks; you must be aware of the taxation. In the above guide, we have covered various aspects of Florida’s taxation system. Having adequate knowledge is essential if you don’t want unwelcome surprises. It is also advised to stay updated with the legislative changes to avoid any mishaps during tax calculation.

If you are looking for cash home buyers in Florida, Golex Properties is your one-stop solution. We are leading among companies that buy homes in Florida. Our experts are standing by to help you from the initial call to the closing of the deal. Whether you are actively looking to sell or just want more information about your home’s worth, give us a call at (844) 697-9737, and let us serve you.

Frequently Asked Questions

1. What is the basis for calculating property taxes in Florida?

Property taxes in Florida are calculated based on the property’s assessed value. The county property appraiser determines the assessed value and is typically a percentage of the property’s market value.

2. How often are property taxes assessed in Florida?

Property taxes in Florida are assessed annually. The tax year runs from January 1st to December 31st, and property owners receive their tax bills in November. Payments are due by March 31st of the following year. You can save money by paying sooner.

3. Can property owners appeal their assessed property value in Florida?

Yes, property owners in Florida have the right to appeal their assessed property value if they believe it is inaccurate. The appeal process typically involves contacting the county’s Value Adjustment Board and presenting evidence to support the claim.

4. What happens if property taxes are not paid on time in Florida?

Failure to pay property taxes on time in Florida can result in penalties and interest. If taxes remain unpaid, the property may be subject to a tax certificate sale or, in extreme cases, a tax deed sale, where ownership of the property is transferred to the highest bidder.