Thinking about buying a home in Florida near the beach? Congratulations! Homeownership is an ideal way to build equity, earn tax breaks, and enjoy a comfortable place to call your own. Owning a home comes with maintenance costs and financial responsibilities — weighing them out carefully can help you make sound investment decisions. While moving through the process of buying a property, costs that could significantly impact your budget can sometimes be overlooked. Read on to learn why property taxes on Blue Mountain Beach real estate are an expense you should account for while touring homes in the area.
What are property taxes?
Local governments specify property taxes based on the value of the real estate, including land and buildings. The tax is typically based on the property’s assessed value by the city, which doesn’t always match the appraised value. The amount of tax may also be affected by the type of property, the use of the property, and any exemptions. The owner of the home is responsible for paying the annual property taxes.
How are property taxes used?
When are taxes due?
Florida property taxes are paid in arrears, meaning the tax bill you receive is for the previous year. The tax must be paid in full by March 31st of the following year to avoid penalties. This means if you purchase a home in Florida on or after November 1st, you will be responsible for paying the property taxes for that year. If you buy a home before November 1st, you won’t have to pay property taxes until the following year.
How much are property taxes?
What happens if you don’t pay property taxes?
Work with a financial professional
Property taxes can be complex without help from an experienced and knowledgeable professional. As you navigate the Blue Mountain Beach real estate market, enlist the guidance of a financial advisor or CPA. They can assist you in understanding all the costs involved with purchasing a new home and the annual taxes that must be paid on it. With a financial advisor on your team, you will more easily move through the real estate transaction process, protect your assets, and be well-informed of all the home-buying expenses before making a decision.
Hire a real estate agent
Many elements need to come together for a successful home-buying experience, and a local real estate agent can ensure the process is seamless and relatively stress-free. Your agent should be familiar with the area you are interested in so they can help you find the right home that fits your budget and includes the amenities on your must-have list. A good agent can also connect you to other professionals throughout the process, including loan officers, CPAs, and home inspectors.
Before stepping into the Blue Mountain Beach real estate market, find a professional to help you weigh the costs of property taxes when buying a new home. Live Love 30A | Destin team, brokered by The Premier Property Group, is a team of experienced real estate agents in the Destin area and surrounding neighborhoods. We invite you to explore our featured properties, and then contact Elizabeth Boswell when you’re ready to begin the search for your dream home.
*Header photo courtesy of Pexels