I'm thinking of moving back to St. Petersburg, FL in a couple of years - I used to live there in the mid-90's.

Asked by Jacqueline Benz, 78734 Fri Dec 5, 2008

Please tell me how the property taxes are computed - is it a percentage of the sale or market value? Or depends on the neighborhood?

Help the community by answering this question:

6
Jacqueline, it is a combination of all the above. every little town/city has its own milliage rate and the assest value is determined by the sales price and the comparable vlue in this neighorhood.
go to the property appraisers website for detailed info
hope this helps
Have a fantastic weekend
Anne

http://www.pcpao.org/
Web Reference: http://AnneHensel.com
1 vote Thank Flag Link Fri Dec 5, 2008
Every township may have a different millage rate
Feel free to contact me and I can help
James had the right answer but incase you have difficulty navigating it I have posted some info:
How is land valued?

Land is valued based on the market or comparative sales approach. The location of the land is a major factor in determining its value. For example, land located near the water is generally more valuable than land located inland. Sale properties are analyzed and compared. Units of comparison such as square feet, acreage and front foot are used to develop land value from the sale properties. These land values are then applied to non-sale properties based on their comparability.

Q: How Can I Estimate Future Taxes on a New Home?

A: Property taxes are determined by multiplying the property's taxable value by the millage rate set each year by the taxing authorities. The basic formula is:

Just/Market Value, Capped by the Save Our Homes Cap = Assessed Value
Assessed Value - Exemptions = Taxable Value
Taxable Value / 1,000 x Millage Rate = Gross taxes*

*On January 29, 2008, Florida voters approved an additional \$25,000 homestead exemption to be applied to the value between \$50,000 and \$75,000. This additional exemption does not apply to school taxes. Therefore you must add the school taxes back in to the Gross Tax amount (approximately \$200.00).

Because each year's property value stands alone, it is difficult to estimate taxes before annual property values and millage rates are established.

A property's value is not based solely on the specific purchase price of that property.

Value is a reflection of the market. When sale prices decline, so do values, and conversely when sale prices increase, so do values. An arms-length sale price is one component used, along with other market information, such as comparable sales, to help establish values.

To get a rough estimate of future taxes, you can multiply your purchase price by the current millage rate in the tax district where the property is located. (Please note that that foreclosure or tax deed sales are not considered "arms-length sales," and may not be given the weight of arms-length transactions in our sales comparison approach to value. If your purchase price is a foreclosure price, you may get a more accurate estimate of taxes by using the current Just/Market value of the property or an estimated purchase price if the property was on the open market.)

You can review the latest millage rates from the Tax Collector's website, or use 24.0 as a starting rate for estimating. Please keep in mind that annual millage rates and values may change as of January 1, so this method is for estimation purposes only. If you apply and qualify for Homestead Exemption, you can expect to save about \$500 - \$800 on your taxes the first year of the exemption. (If you qualify for Cap portability from a previous homesteaded property, you may save more in taxes.)

Often, real estate professionals will suggest that you use 85% of your purchase price for estimating taxes. While doing so will give you a ballpark number, be aware that, depending on the date of your sale in relation to the January 1 assessment date and the actions of other buyers in the market, your property value may differ significantly from your purchase price.

It is important to remember that when a property sells, the previous owner's exemptions and Save-Our-Homes Cap will be removed at the end of the calendar year, which can cause a dramatic increase in taxes. Do not rely on the current owner's tax amount when estimating your taxes. More important information on the removal of the Save-Our-Homes Cap can be found here.
If you have any questions, please call our information desk at 727-464-3207
Information located at http://www.pcpao.org

David Chamberlain
Umax Mortgage
727-239-2188
You're wise to consider the tax issues before you move - most people don't. Don't forget to add in the cost of homeowners insurance and flood ins if you end up in a flood zone. Depending on the value of the home and the location, you could be paying another 50% over the cost of the mtg for the taxes/ins.

Also, you probably already know this but prices compared to the mid-90's are up, even though values are down in general around St Pete from 2+ years ago. And compared to where you're coming from, you're likely to buy less house for the same payment.

Hard to say how things will compare in a couple of years, but do your homework!
Jacqueline,

Anne's answer is right on the mark........it's good to know that people are looking for ways to get back to the area.

Good luck
Jacqueline,

Here's a link to the appraiser's website. http://www.pcpao.org/ . Click on the "How to Estimate Taxes" option on the left. The purchase price has some bearing but the bottom line is whenever a house changes hands it gets reappraised. If you're planning on homesteading the property after you make your purchase you'll be entitled to an annual deduction that usually amounts to about \$750-800. Your tax increases are also capped at 3% maximum. The website is a great resource.

If/when you make the move please give me a call.

Jim Moran
Broker/Associate
Prudential Tropical Realty
727-799-2227 ext 223 C 727-278-4711