Will Florida Ditch property taxes increase as home prices rise?

Returning the coast home is pushing lawmakers in Florida to propose radical solutions.

The average prices of houses in Metro throughout the Sunshine state have increased in recent years along home security premiums. In the light of overwhelming financial pressures for Floridians, lawmakers are now arguing over the reduction or elimination of property taxes, reported Wall Street Journal.

There is no US state that has successfully eliminated property taxes, though the Northern Dakota tried and failed to become the first with a voting measure in November. Florida is among eight countries without taxes of individual income, however, making it particularly attractive to fixed retirees. Promotion has also brought companies – and their owners of billionaires – in the growing state.

But the state housing market has not been so sunny lately, as property values ​​of property, condo tariffs and insurance premiums were drinking the wallets of some Floridians. Despite the success in the high -level luxury state market, the number of unsold homes in Florida increased almost 23% from year to year in January.

More and more property values ​​hits families with fixed income, such as pensioners, especially difficult. Redfin data quoted by the magazine traced the average prices of houses in deciding as Miami, Orlando and Tampa increasing several times since 2012.

Now, some lawmakers in Florida are able to address the issue aiming at the tax tax of the state, from complete repeal to smaller adjustments. The current possibility of such radical measures coming under strengthening is unclear, but the issue has been anterior and focuses this legislative session, the newspaper reported.

These measures include Republican Govin. Ron Desantis’s plan to establish a constitutional change by removing or reducing assets taxes in the 2026 polls, as well as Sen State. The bill of Jonathan Martin seeking a study on the elimination of property taxes until October. Two invoices aimed at a reduction in property taxes were presented by Rep. Ryan Chamberlin.

Proposal critics say the elimination of property taxes would force the reduction of essential services and will significantly increase sales taxes. Asset taxes are a predominant source used by local government for public services such as schools, fire departments and libraries. In Florida, property taxes constitute a considerable part of the return of the district, municipality and school circle, the newspaper reported.

Politicians like Desantis and Chamberlin have suggested various means to avoid losing revenue, including reducing waste in local government and raising sales taxes.

Although eliminating the property tax can help keep floridians in fixed income in their home, this can also damage their daily expenses. The magazine quoted a study by the Florida Institute of Policy that estimated the state tax tax should be doubled to 12% in order to replace asset tax statements.

Other countries are also thinking about reducing or eliminating assets taxes, reported magazines, including Wyoming, Kansas and Montana.