Florida legislator proposes $175K property tax exemption to combat housing affordability crisis

During the Citrus County Legislative Delegation meeting on February 7, 2025, significant discussions centered around the pressing issues of affordable housing and property taxes, reflecting the community's growing concerns about housing affordability and insurance costs.

The meeting highlighted the ongoing challenges faced by residents due to skyrocketing property taxes, which have surged in recent years, particularly since the onset of the COVID-19 pandemic. A key point raised was the inadequacy of the current homestead exemption, which now only exempts about 10% of property value from taxation, compared to the original 33% when it was first introduced. This has led to increased financial strain on homeowners, making it one of the top issues constituents face.

In response, a proposed constitutional amendment aims to increase the property tax exemption to $75,000, indexed to inflation, which could represent one of the largest property tax cuts in Florida's history. This initiative seeks to alleviate the financial burden on homeowners and return some of the excess revenue collected by local governments back to taxpayers.

Insurance costs were another focal point of the discussion. The rising value of homes has led to increased homeowners insurance premiums, with some residents experiencing significant jumps in their insurance costs. The meeting addressed the need for reforms to stabilize the insurance market, particularly in light of the impact of hurricanes on insurance rates. The state has seen some positive trends, with companies beginning to file rate decreases, indicating a potential shift towards more affordable insurance options.

Additionally, the delegation discussed the importance of incentivizing homeowners to build more resilient structures that can withstand hurricanes. A proposed program would freeze property taxes for 20 years for homeowners who invest in upgrading their properties to meet modern hurricane standards. This initiative aims to reduce future insurance costs and minimize the financial burden on local and state governments during disaster recovery.

In conclusion, the Citrus County Legislative Delegation's discussions underscored the urgent need for property tax reform and insurance stabilization to address the housing affordability crisis. As these proposals move forward, they could significantly impact the financial well-being of Citrus County residents, paving the way for a more sustainable housing market in the future.