Miami-Dade County residents could see first property tax break in over 10 years
MIAMI - Miami-Dade Mayor Daniella Levine Cava released the 2022-2023 proposed budget for the county.
In that budget, the first property tax reduction we've seen in over a decade, but with property values surging in South Florida, will the tax cut even make a difference?
The tax break Mayor Levine Cava is proposing is just 1%, which is significantly less than some of the cuts proposed by other elected officials. Experts say the average homeowner will likely not notice a difference.
"I don't think a homeowner is going to see any real significant relief. There is a likelihood that they'll actually see an increase it'll just be a lesser of an increase, then they might have seen had they not done this," says Marc Kleiner, an Attorney of Property Tax Adjustments & Appeals.
The $10.3 billion dollar budget has a countywide property tax rate of $462 dollars per $100,000 dollars of taxable value, compared to the current rate of $467.
"For a homeowner that has homestead property, the maximum increase they can see is 3% in their value but if the Mayor is proposing a cut of 1% that's not really going to work out to any tax savings," says Kleiner.
So, what will your property taxes be under the proposed cut? Experts say that number depends on how much property values increase.
"There's another variable you'd have to tack on there to figure out if there is tax savings or not and that would be the increase in value that's likely to occur on the property value side," says Nicholas McCarville, an Attorney of Property Tax Adjustments & Appeals.
A dad we talked to says he's trying to buy a home for his family, but prices are too steep, and a 1% tax break isn't enough.
"It won't compensate you know the prices have increased too much. Inflation as well and gas prices are up so it's kind of difficult right now," says Carlos Martinez.
Mayor Daniella Levine Cava released a statement reading in part, "We owe it to our residents struggling with rising costs of living to provide immediate relief. That's why our proposed budget is offering relief to homeowners by reducing the millage rate for the first time in a decade."
But experts say, in order to really make a difference, "You'd have to get all the other taxing authorities to lower their millage rates too - the school board, water management districts, all the other taxing authorities would have to lower millage rates to really translate to something meaningful for the taxpayer," explains Kleiner.
Homeowners we spoke with, hoping more relief is on the way.
"The costs of living in Miami are getting out of control and I just hope the Mayor and other elected officials do something to help people stay in the city," says Michael Richey.
If it's approved, the 1% property tax break will go into effect on October 1st.