[ton80]

Originally Posted by golfing eagles

just got mine today also-----assessment went up by $278,000 but taxes down $338

Refer to Note #5 by Bill4564 who provides clear definitions.

IMHO GE is confusing market value with assessed value. IMHO GE sees a Market Value increase of 278,000$ but that is not used for the tax calculation. Assessed value is what is used for tax calc. Tax assessment is protected by the Save Our home benefit of 3% or less tax assessment increase. If you check TRIM notice carefully you should see only a 3% increase in Assessed Value from 2021 to0 2022. This should be much less than the market value increase.

The TRIM sheet has an entry on Page 2 for Assessed Value Reduction. This includes Homestead Reduction of 25 or 50,000$. The Save ou Homes Benefit is much larger and more important to minimize our taxes.

The tax savings come from the reduction in tax rate from 2021 because the total assessed value increase was very large. When the county calcs the tax rate to fund their budget they are proposing a tax rate reduction of some 9% that yields the money that funds their 2023 budget.

So Arithmetic: 2021 Assessed value x 1.03 x .91 should show a 2022 tax of 2021 Tax x .9373.
This is for the county property tax. If you are so inclined you could the same for the other advalorem and non advalorem taxes...but this is complex because they are not consistent.

Hopefully this makes some sense to you

[golfing eagles]

Originally Posted by ton80

Refer to Note #5 by Bill4564 who provides clear definitions.

IMHO GE is confusing market value with assessed value. IMHO GE sees a Market Value increase of 278,000$ but that is not used for the tax calculation. Assessed value is what is used for tax calc. Tax assessment is protected by the Save Our home benefit of 3% or less tax assessment increase. If you check TRIM notice carefully you should see only a 3% increase in Assessed Value from 2021 to0 2022. This should be much less than the market value increase.

The TRIM sheet has an entry on Page 2 for Assessed Value Reduction. This includes Homestead Reduction of 25 or 50,000$. The Save ou Homes Benefit is much larger and more important to minimize our taxes.

The tax savings come from the reduction in tax rate from 2021 because the total assessed value increase was very large. When the county calcs the tax rate to fund their budget they are proposing a tax rate reduction of some 9% that yields the money that funds their 2023 budget.

So Arithmetic: 2021 Assessed value x 1.03 x .91 should show a 2022 tax of 2021 Tax x .9373.
This is for the county property tax. If you are so inclined you could the same for the other advalorem and non advalorem taxes...but this is complex because they are not consistent.

Hopefully this makes some sense to you

Thank you----I was looking at the market value box----I had no idea that Florida would put a "market value" on a tax notice---since it has nothing to do with taxes. Assessed value only went up 23K.

[melpetezrinski]

I'm in Sumter County and the market value increased 28.25%, assessed value increased 3% (cap) and taxes decreased 6.7%.

[rsmurano]

Originally Posted by Bill14564

The Developer was the cause of the spike in demand for housing that drove values up? The value of the house I sold in Md increased at the same time (good for me) so is the Developer to thank for that too?

The Developer seems to be building as quickly as possible to create a supply of houses to meet the demand. My basic economics lessons told me prices increase when supply is low, not when supply is high. Wouldn't values have increased even more if the Developer had slowed or stopped building?

And really, I believe the continued investment in county infrastructure, needed to support the additional homes being added by the Developer, is what necessitated the 25% increase in taxes a few years ago.

You missed a class, supply is only part of it, the other important part of economics is demand. The developer can’t force somebody to leave another state and buy here. The developer here has created an environment that people from all over the country want to get into which is causing high demand for housing and right now, the developer is building all these new homes to meet this demand.
If there was no demand but a large supply, you would see home prices going down.

[Remembergoldenrule]

My taxes went up by $1,800. Plus the bond plus increase recreation fee of $30 a month.

[Laker14]

Originally Posted by Remembergoldenrule

My taxes went up by $1,800. Plus the bond plus increase recreation fee of $30 a month.

when did you buy? Do you have the Homestead exemptions and "save our homes" limit on assessment increases?

[golfing eagles]

Originally Posted by Remembergoldenrule

My taxes went up by $1,800. Plus the bond plus increase recreation fee of $30 a month.

Seems highly unlikely. Are you a new owner of a new home, in which case your previous tax/assessment may have been based on the vacant, undeveloped land your home is on. Then, the following year, the house is assessed. This happened to all of us that bought new.

[Luggage]

Ha ha ha , it's just like gasoline when prices go way up and then it goes down just a little bit you think you're getting a bargain, taxes went up 25% the other year so if it goes down 7%, now you think it's still you're doing well. Government continues to steal millions and millions in Sumter county that they don't really need and you shouldn't be paying.

[Travelhunter123]

Originally Posted by Bill14564

It would be Sumter County and a home that qualifies for the Homestead tax credit and 3% Save our Homes cap.

Market value increased something like 30% (YMMV)
Assessed value increase was capped at 3% (due to Save Our Homes limit)
The Sumter County Rollback rate is a reduction of 9.1%
Which means County property taxes would decrease by about 6%
School tax rates and water management tax rates also decreased
Resulting in an overall ad-valorem property tax decrease of about 7%

Interesting, my bottom line tax’s went up by a few dollars in Sumter county

[Bill14564]

Originally Posted by rsmurano

You missed a class, supply is only part of it, the other important part of economics is demand. The developer can’t force somebody to leave another state and buy here. The developer here has created an environment that people from all over the country want to get into which is causing high demand for housing and right now, the developer is building all these new homes to meet this demand.
If there was no demand but a large supply, you would see home prices going down.

The point I was trying to make was that demand was up throughout the country, not just here in northeast Sumter County.

In a normal year, the value of my home increases due to the demand for homes in this area which is, of course, primarily due to what the Villages is.... people want to live here. But, the increase is also due to a limited supply in the area - there are only so many houses to buy. The Developer building as fast as he can works against this pressure on home prices. If he was able to turn out 1,000 homes per month the market would be saturated and prices would stagnate or fall. His continued building does not increase the value in my home.

So yes, value increases as demand increases and the Villages is always in demand. But, price decreases as supply increases and the Developer increasing supply as quickly as possible slows the price increase. This year, with such an overwhelming demand, the effect of increased inventory is negligible. That may not continue to be the case in the future and one day the value of pre-owned homes may suffer due to a large inventory of new homes.

[Bill14564]

Originally Posted by Travelhunter123

Interesting, my bottom line tax’s went up by a few dollars in Sumter county

The primary reason my taxes went down was the Save Our Homes cap on the assessment increase for homes with a Homestead exemption.

If you recently bought your home then its value will adjust to the Full Market Value and your taxes will increase.

If you don't have the Homestead exemption then the 3% cap does not apply. There should be a 10% cap on assessment increases for these homes. With a 9.1% decrease in the tax rate, this could result in your Sumter County property taxes increasing by about 1%

There is a good discussion of this here.


NOTE: IANAL or tax professional or real estate professional. I just spend too much time reading information available online.

[Rainger99]

Originally Posted by Bill14564

The primary reason my taxes went down was the Save Our Homes cap on the assessment increase for homes with a Homestead exemption.

Quick question on the SOH cap. As I understand it, that only applies to assessed value of the home but the tax rate has no cap on it. So even though my assessed value only goes up 3% - my taxes could go up 50% (in theory). Is that correct?

[jarodrig]

Folks complain when their taxes go up….

Folks complain when their taxes go down (but not enough!)

Simply UNBELIEVABLE !!!!

[Bill14564]

Originally Posted by Rainger99

Quick question on the SOH cap. As I understand it, that only applies to assessed value of the home but the tax rate has no cap on it. So even though my assessed value only goes up 3% - my taxes could go up 50% (in theory). Is that correct?

Correct. The 2019 rate increase was an example of that.

[Laker14]

Originally Posted by golfing eagles

Seems highly unlikely. Are you a new owner of a new home, in which case your previous tax/assessment may have been based on the vacant, undeveloped land your home is on. Then, the following year, the house is assessed. This happened to all of us that bought new.

Originally Posted by Bill14564

The primary reason my taxes went down was the Save Our Homes cap on the assessment increase for homes with a Homestead exemption.

If you recently bought your home then its value will adjust to the Full Market Value and your taxes will increase.

If you don't have the Homestead exemption then the 3% cap does not apply. There should be a 10% cap on assessment increases for these homes. With a 9.1% decrease in the tax rate, this could result in your Sumter County property taxes increasing by about 1%

There is a good discussion of this here.


NOTE: IANAL or tax professional or real estate professional. I just spend too much time reading information available online.

We bought a pre-owned home, closed in Feb. '21. My tax bill that I received last November was based upon the previous owner's assessment value which had been controlled by her SOH assessment. I was surprised (happily surprised), but I figured out what was going on.

I am homesteaded, which reduced my taxable assessment, but of course, the house was re-assessed, reflecting the more current valuation. Going forward, I will get the benefit of the limited amount the taxable assessment can go up each year.
So yeah, my taxes went up about 40%...which was just about exactly what I anticipated it would go up.
My only surprise was getting that one year cheaper than I realized I would.
I felt rich there for a while.
It was grand.