Friday, August 31, 2012
This November, vote "YES" on Amendment 4 for its positive potential impact on real estate
|ORRA Chairman Stephen Baker grabbed a photo op with Florida REALTORS'® Vote "YES" on Amendment 4 promotional vehicle (parked on this day in Tallahassee during Great American REALTOR® Days).|
Orlando REALTOR | September/October 2012
Aproposed constitutional amendment that will appear on Florida’s November 2012 ballot would create jobs, grow Florida’s Gross Domestic Product (GDP), and increase Floridians’ personal income if passed, according to an independent analysis by Florida TaxWatch, a nonpartisan, nonprofit public policy research institute. Florida REALTORS® is a huge supporter of Amendment 4, and encourages all REALTORS® to vote "YES” on Amendment 4 during the general election.
According to Florida TaxWatch’s analysis, Amendment 4 – if passed by the required 60 percent of Florida voters – would create 19,483 private, non-farm jobs over a 10-year period (2013-2022). At the same time, Florida GDP would increase by approximately $1.1 billion, and personal income would increase by more than $5.3 billion.
"I am overwhelmed by the positive impact this amendment would have on jobs in Florida,” says Florida REALTORS® Senior Vice President of Public Policy John Sebree. "It’s certainly worth fighting for a constitutional change that will result in nearly 20,000 new jobs.”
Passage would also have a significant impact on the state’s real estate market. The report estimates that between 319,861 and 383,810 additional home sales would close over the 10-year period if Amendment 4 passes.
If passed by voters, Amendment 4 takes effect on Jan. 1, 2013, and would:
Tax Your Assets Off
As part of its efforts to convince consumers in addition to REALTORS® to vote "YES” on Amendment 4, Florida REALTORS® has partnered on a humorous campaign that appeals to a near universal dislike of paying taxes.
The "Tax Your Assets Off” campaign features amusing video spoofs of those with loved ones suffering from Sudden Posterior Reduction Syndrome and off-the-wall "news reports,” but its underlying purpose is to inform consumers about the positive economic implications of Amendment 4.
»Provide an additional homestead exemption for first-time Florida homebuyers equal to 50 percent of "just value” of a property, up to the median "just value” of a homestead property in that county. The first-time buyer exemption would phase out over five years.
»Reduce the maximum annual "assessed value” increase cap for nonhomestead property from the current 10 percent (on non-school levies) to 5 percent, and extend nonhomestead "assessed value” caps through the 2022 tax year.
»Provide legislative authority to eliminate the Save Our Homes "Recapture Rule.”
TaxWatch points out another advantage of Amendment 4: a yearly nonhomestead property tax cap reduction from 10 percent to 5 percent. That change, according to TaxWatch, promotes investment. If businesses know they won’t face property tax increases greater than 5 percent per year, they’ll invest in more Florida properties.
"The increased economic activity… in this analysis is the result of the savings from Amendment 4 being distributed throughout the economy,” says Florida TaxWatch Chief Economist Jerry D. Parrish, Ph.D., executive director of the Center for Competitive Florida and author of the study.
"From an economist’s standpoint, these findings are not surprising because the proposed Amendment 4 would reduce uncertainty for both personal and business investment – and when individuals and businesses can better estimate their future costs, including property taxes, they are more likely to invest.”
Source: Florida REALTORS®