Understanding Property Tax Exemptions on Manufactured Homes

Posted: December 04, 2020 by Jacobsen Homes

When budgeting for a new home and your living expenses once you move in, remember to account for property taxes. Some manufactured home shoppers don’t realize that there are a number of different exemptions and other benefits available to Florida residents to help reduce tax liability. Tax liability is the amount of taxes an individual is responsible for paying to the the County Tax Authority each year. Here is the important information to know about manufactured home tax exemptions.

Property Tax Benefits in Florida

Florida is a great place to settle down and call home for a variety of reasons. The obvious benefits include the warm weather and many communities to choose from. Homeowners in Florida can also enjoy better tax benefits compared with some other states. Kiplinger called Florida the third “most tax friendly state for middle class families.” The median property tax rate is $830 per $100,000 of assessed home value.

How Do Property Tax Exemptions Work?

Property tax exemptions reduce the amount of taxes that certain types of homeowners pay on their homes. Manufactured home owners can get the same exemption benefits as traditional homeowners, as long as their home meets the definition of real property and they own the land on which it sits. This means your home must be permanently fixed to the land. When you purchase a new home, which sets upon real property, your dealer will apply your title and tax decal for your home.  After you receive this, you can go to your local Property Appraiser’s office and request the form to convert your home to real property. Take the completed form to the DMV and request and purchase a RP (real property) black decal for your home. Find your county property appraiser’s office to purchase the decal.

What is Florida’s Homestead Exemption?

The Florida Homestead Exemption can reduce the taxable value of your home by as much as $50,000, depending on your home’s value. Eligibility for this has three requirements:

  1. The manufactured home being claimed has to be your permanent residence or the permanent residence of someone who you can claim as a dependent on their income taxes.
  2. You must have lived at the property since January 1 of the tax year. If, for instance, you claim a homestead exemption in 2020, you would have had to have been living there on or before January 1, 2020.
  3. You have not rented the property for more than 30 days in the calendar year. In the state of Florida, renting a property for more than 30 days over a two-year period disqualifies you from the exemption.

Some specific property tax exemptions apply to individuals with disabilities, seniors, veterans and surviving spouses, or active duty military service members. Contact your county property appraiser for information on what tax exemptions you could be eligible for.

How Are Property Taxes Assessed?

Property taxes are based on the value of your property and the tax rate of your local tax authority, so it varies from county to county. The property assessor will assign a tax rate based on the estimated value of your home. They compare the property in question to other similar properties that have recently sold, estimating how much would be made each month if the property were rented out, and calculating how much their home would cost to build from scratch.

Buying Your Manufactured Home from Jacobsen Homes

Contact Jacobsen Homes today to take the next step toward owning your own manufactured home.