Florida Home Prices Could Spike Up to 9%

Florida is considering a proposal to eliminate property taxes on owner-occupied homes, and the analysis covered in this piece says that doing so would likely push home prices sharply higher instead of simply making housing cheaper. Economic modeling cited in the article estimates that if property taxes disappeared for primary residences, Florida home values would immediately rise around 7% and could climb as much as 9%, as buyers bake the tax savings into higher purchase offers. That would boost equity for existing homeowners but could cancel out most affordability gains for new buyers. The report also warns that local governments rely heavily on property taxes to fund services like schools and public safety, so scrapping that revenue would require major offsets, such as significantly higher sales taxes or other state-level taxes, creating tough trade-offs for residents and policymakers. For more information click here.