Caption transcript. This text is pulled from YouTube captions and may contain minor wording errors.
[00:00] Hey, I want to make a video about property taxes here in Florida. And it's ironic because I just made one a couple days ago talking about the complete elimination of property taxes here in Florida. Um, so this whole video might be entirely pointless here in another another year or two, but for now,
[00:19] uh, we'll see what happens. For now, use this video to help you figure out what your taxes are going to be. Don't use public records when you are analyzing properties, looking through like scrolling through Zillow, you see a property that maybe they're paying $1,000 a year on property taxes and and
[00:37] everything around it is like three $5 $7,000 a year. Something's up and I'll tell you why. Oh, hey, real quick. I don't know if this is for you right now, but are you looking to either grow or consolidate your rental portfolio? I've worked with other investors in Tampa to find properties that meet their goals.
[00:51] And so, if that's something you've even thought about, call or message me today. Let's talk about your current portfolio and uh also possibly your next investment. If you look over here on my screen, you'll see this subject property. I just picked a random one on Zillow. It was sold uh
[01:08] for $215,000 in 2016. Impressive, right? Because now they have the same property listed at $439. Or actually, you know what? They're listing I think they dropped it a couple a couple, you know, $20,000 or so. Uh, however, let's go back here. $215,000 is what they sold it
[01:30] for. Now, let's look at So, this person who's selling it right now, they've owned it since 2016. And you see the property taxes here last year, they paid 20 $2,400. We'll round up. Be generous. They paid $24,000. $2,400. Sorry, I just I just
[01:51] realized what I was saying. $2,400 uh a year. That's really low for this area. Like really low. Uh right now they have it listed again to recap at let's see they have it at $415,000. So I'm going to go up to and and show you how you can figure out what your taxes are going to be because you
[02:11] if you were to buy this property, you are not paying this amount right here. I can promise you that. There's no millage rate that I can give you for your spreadsheet because, you know, this is in Hillsboro County. Every county around probably the the country, but definitely in Florida, they
[02:28] all have their own different algorithms now, but they provide these services on the property tax appraisers website to estimate your new taxes. So, let's take the address and copy and paste it over into And by the way, this is how you find it. You just go to just type in your county tax
[02:49] estimator. Hopefully your county has one. Almost all of them, at least in Florida, do. Type in the address. Boom. Pop up in a second. All right. Now, you probably are going to be applying for a homestead. Obviously, if you if if you're not if this is a rental property, you're not
[03:09] applying for a homestead. If you live there as your primary, you will. So, we're going to put yes, just to keep it apples and apples. So, let's say um we know what the public records show here. They are paying $2400 a year in property taxes. Sorry, I had to remind myself. Now, that the
[03:29] person who buys this, let's say they buy it at full ask, $415,000. Uh if you think Yeah. No, we're not. We're going to leave that unchecked. So, your new taxes are going to basically triple two and a half to to three times what
[03:47] they're paying now. So, at $415,000, your knee taxes are going to be, and this is with homestead exemption. You can see what happens here, goes up even more. So, I usually just kind of cut right down the middle. We'll say about $6,000, you know, roughly a year. So, that's a big difference. So, you might
[04:09] notice this discrepancy and wonder to yourself like how like how does this happen? Why does this happen? And I'll tell you because when you buy a property as an investor, your taxes get reassessed every single year. Basically, like the full you get a full increase every single year. Um, when it's a
[04:27] commercial rental property or investment property, uh, when it's a primary and you have the homestead exe exemption, what that does for you is it it shaves off 25% of the, um, uh, property taxes essentially. So, you're reducing your property taxes by 25%, but also, you're not going to get the full increase every
[04:47] single year. So, if you've owned this property for, you know, like 10, 30 years, even in this case, like eight, nine years, um you're going to get a partial increase every year. And so that partial increase ends up like compounding itself. And so you're saving you're saving thousands of dollars a
[05:08] year on property taxes. So, the whole point of like if Rhonda Santz, the Florida government were to propose the property tax elimination on the next ballot sheet and the state agrees and and they all vote for it to remove property taxes at least for primary residents, like you know,
[05:28] homeowners. Um, that's going to like allow a lot of people to to move. move. Now, you're still going to have high like there's still people with low interest rates that won't be able to move because they're still stuck at like a 3% interest rate and maybe if they were to buy another house, that interest
[05:42] rate would be, you know, uh five or 6%. So, there's a big difference in the monthly there. But, uh, I will say property taxes is going to really offset a lot of things as well because that's another like that and your interest rate are the two things that will save you money the
[05:59] longer you're in your property for, you know, at least in this situation. So, hopefully that makes sense. Hopefully you've learned a little bit. Um, Pasco County, Penelis County, Hillsboro County, Manatee, Hernando, Pulk, they all have tax estimators on the um, government website. So, it's the county
[06:17] property appraisers website. You can find out that that um another kind of cheat you can do though is type in 1.7% of the property's purchase price and that'll likely give you a pretty rough estimate of where but you know, figure that out for yourself. run it. Play with a calculator a few times and you'll
[06:36] figure out where to
