miamicuse wrote:
I have a home with I bought in 1996 and it's currently assessed at about
250K but the market value should be around 400K. Florida has this SOH (Save
Our Home) rule that prohibits a home from raising more than 3% a year in
assessed value. Earlier this year I bought another home at 450K so I know
next year it will be taxed at 450K. Both homes are in south Florida one in
Broward County and one in Miami-Dade.

I am remodeling the new home now and it will be another six months before it
will be ready to move in. Then I will plan to sell the current home but
with the current market trend it may be hard to sell.

My question is should I keep the current home for homestead exemption now
even though the new home will be taxed at it's full sale price because if I
apply for Homestead for the new home, the existing home tax will suddenly
jump to 400K? So it is better to not change my current exemption until I
sold the current home? Do I have my logic right?

Thanks,

MC


Do the math, check with your financial advisor. $25,000 exemption would
mean the second home would be taxed at $425K, right? The first home
won't lose the SOH limit until you sell it, right?