|
Recent Articles : Florida Homestead
Exemptions
HOMESTEAD EXEMPTIONS
The concept of homestead is as old as the State of Florida. There
are only a few states with homestead exemptions. Florida is considered
one of the most generous.
There are 2 types of homestead exemptions available to property
owners in Florida: (a) homestead exemption for real property tax
purposes and (b) homestead exemption for asset protection purposes.
The fact that you have one type of exemption does not necessarily
mean that you have the other type of exemption as each exemption
has distinct requirements.
Specifically, the homestead exemption for real property tax purposes
provides an owner of property with a $25,000.00 reduction from the
assessed value of the property thereby currently reducing the amount
of real property taxes by approximately $650.00 each year. Since
real property taxes are paid in arrears in Florida (just like interest
on your mortgage), this type of homestead exemption is only available
if the owner is the permanent resident of residential property as
of December 31 of the prior year and owner makes application for
the exemption at the property appraiser's office on or before March
1 of the following year. If you are widowed or permanently disabled,
you may be entitled to an additional reduction from the assessed
value of the property.
The homestead exemption for asset protection purposes provides
the owner of property with a shield from virtually all non-lien
creditors. This type of homestead exemption is only available if
the property is your primary residence and a court makes a determination
that the property is within a municipality or outside of a municipality.
If your property is within a municipality, protection is provided
for only one half acre of contiguous land. If your property is outside
of a municipality, protection is provided for 160 acres of contiguous
land.
|
