06-26-2012, 12:53 PM
TALLAHASSEE --
It has been four years since the housing crisis hit by Florida's real estate market continues to suffer.
That downturn may be helped, some officials say, if Amendment 4 is passed by voters in November. Supporters said Amendment 4 could kickstart the housing market while its detractors say there could be a painful trade-off.
Benefiting the most would be first-time homebuyers, who would initially pay property taxes as if their houses were worth about half the typical home price.
The tax break could be more than $1,000. It would be phased out over five years.
A new report by Florida TaxWatch finds Amendment 4 could push the sale of 380,000 homes.
"Home sales in Florida have a domino effect, too," said Rob Weissert, with Florida TaxWatch. "If someone's been trying to sell their home to move into a bigger home or maybe downsize their home, now that they can sell their home, they go buy a new home, and that domino effect really does generate a lot of economic activity."
It could be a big boon to the real estate market as well - but not necessarily for Florida's cities and counties.
As property taxes have fallen, so too, have property tax revenues and many areas are finding new ways to come up with funds. Cities and counties have had trouble pay for essential services, like police officers and firefighters.
The Florida Association of Counties complains Amendement 4 could cost local governments $600 million.
Still, realtor Penny Herman says the state needs more people in homes.
"Houses are empty, yards are overgrown, junk is in the yard, people are in them, vagrants and so forth, and police officers having to go out (there),'' Herman said. "So there's a cost-benefit, I think, to having a homeowner in a neighborhood, bringing the neighborhood up, and not having to have city services that we wouldn't need otherwise."
It has been four years since the housing crisis hit by Florida's real estate market continues to suffer.
That downturn may be helped, some officials say, if Amendment 4 is passed by voters in November. Supporters said Amendment 4 could kickstart the housing market while its detractors say there could be a painful trade-off.
Benefiting the most would be first-time homebuyers, who would initially pay property taxes as if their houses were worth about half the typical home price.
The tax break could be more than $1,000. It would be phased out over five years.
A new report by Florida TaxWatch finds Amendment 4 could push the sale of 380,000 homes.
"Home sales in Florida have a domino effect, too," said Rob Weissert, with Florida TaxWatch. "If someone's been trying to sell their home to move into a bigger home or maybe downsize their home, now that they can sell their home, they go buy a new home, and that domino effect really does generate a lot of economic activity."
It could be a big boon to the real estate market as well - but not necessarily for Florida's cities and counties.
As property taxes have fallen, so too, have property tax revenues and many areas are finding new ways to come up with funds. Cities and counties have had trouble pay for essential services, like police officers and firefighters.
The Florida Association of Counties complains Amendement 4 could cost local governments $600 million.
Still, realtor Penny Herman says the state needs more people in homes.
"Houses are empty, yards are overgrown, junk is in the yard, people are in them, vagrants and so forth, and police officers having to go out (there),'' Herman said. "So there's a cost-benefit, I think, to having a homeowner in a neighborhood, bringing the neighborhood up, and not having to have city services that we wouldn't need otherwise."