DeSantis Proposes Axing Taxes on Homes in Florida

本站添加: 2026-05-30

[00:00:00]Florida Governor Ron DeSantis unveiled a much awaited proposal to gradually eliminate property taxes on the vast majority of primary homes in the state.

[00:00:09]Measure that would transform the way that the state finances itself.

[00:00:13]Here to discuss is Bloomberg's Anna Kaiser and Anna.

[00:00:16]Let's talk through this, right. Because if you eliminate property taxes, what is the governor's plan for how to offset that loss?

[00:00:24]So local governments are the ones that collect property tax.

[00:00:28]So he's saying that in wealthy communities like Palm Beach or here in Miami, where there are a lot of second homes, a lot of homes that are worth millions, millions of dollars, this would only eliminate the tax if your house is worth over half $1 million. So he's saying in these wealthy parts of Florida that, you know, that's your tax base.

[00:00:47]It's the second home owners, the super wealthy, um, you know, they can make up the difference there. Um, for the rest of Florida, uh, where most homes are under half $1 million. Um, he says he's going to make kind of a trust. Um, that will make those local governments then depend on the state government to, you know, keep the lights on and, um, fix roads. Uh, Park services, you know, all that basic stuff that our that our property taxes fund.

[00:01:15]Mhm. And I mean, when you think about, uh, this proposal, how likely is it to actually pass actually become something that potentially is something that does how the state operates its finances.

[00:01:29]Yeah. So I mean it is a little bit of a long road. So he has DeSantis has called lawmakers into a special session next week. So they have to actually pass that proposal. So we may see some tweaks in the coming days. Um, and then the legislature puts a referendum on the ballot in November. So then it has to pass voters.

[00:01:49]And in Florida, you need 60% of the vote for a referendum to pass.

[00:01:54]Um, you know, when you ask people, do you want a tax cut that's usually pretty popular? Um, so in that sense, it could pass.

[00:02:02]But, um, remember, there's millions of renters in Florida to who really wouldn't get much benefit from a property tax cut or an elimination.

[00:02:10]Um, you know, there's even a world where the tax burden shifts on to landlords, and then they pass that down to renters. It could actually make rent more expensive. So, you know, it's definitely complicated. Um, you know, with these referendums, the side that has more educating to do, obviously, uh, you know, is at a disadvantage. It's kind of hard to explain to people, you know, how all of this works. Um, so it'll be really interesting to see how cities and counties kind of try to counter this and maybe try to save their their ability to, to tax in the way that they do currently.

[00:02:45]Right. Well, you touched on it a little bit, but I want to talk a little bit more directly about the potential ripple effects for the real estate market, because you think about Florida, it's already a tax friendly state. We already see that migration from New York, particularly into Florida, where if this were to happen, if this were to become reality. I mean, is the expectation that that trend would become more exacerbated? Yeah, I mean, I think so.

[00:03:11]So many people move here for tax reasons already.

[00:03:13]So, you know, this would be a really a really big one.

[00:03:17]Um, you know, there's people on the other side of the argument that say that, you know, if you're not having essential services that would eventually hurt property values. But, um, you know, if you're looking at your personal taxes and you could move to Florida, maybe you already have a second home here. Um, and then you make this your primary residence, then you're not paying income tax and you're not paying property tax.

[00:03:38]So, you know, it's already very low tax state.

[00:03:40]Um, so if you are really looking to save, uh, that may mean, you know, all those, um, snowbirds, you know, the people from the northeast who who live here seasonally, like, maybe they would make this their permanent residence.

[00:03:52]I think that's what a lot of the real estate community is talking about right now.