How will the Midterm Elections affect South Florida Real Estate?

By Alexandra Tarallo

Considered to be the costliest midterm elections in the last decade, the race is on and much is at stake.

With a whopping $3 million dollars in congressional candidate contributions on behalf of the National Association of Realtors, one can hardly doubt the crucial impact these elections will have on South Florida real estate. The multi-million dollar contribution puts the National Association of Realtors in the number one spot for PAC’s.

Property taxes and increasing insurance rates are what concern homeowners the most and the issues have been addressed with endless promises on behalf of the candidates.

One candidate proposes a 1 billion dollar tax cut that would save the owner of a $225,000 dollar home about $120 dollars a year. Another plan is to cap property tax increases on non-homestead property at 10 percent a year to benefit renters and business owners.

Another candidate has promised to cut taxes with an amendment to the constitution which would double the homestead exemption from $25,000 to $50,000 dollars. Yet another proposal is to add portability to the Save Our Homes amendment which controls taxes by limiting the increases in property assessments.

According the Sun-Sentinel Charlie Crist was quoted as saying “I think we need to give the taxpayers relief that is significant, substantial and appropriate,” and that “Property taxes are incredibly too high, they’ve been choking people in this state.”

Insurance is the crucial issue. After the busy hurricane season of 2005, insurance rates where drastically increased but have shown no signs of decreasing after the uneventful 2006 season.

Many Floridians will be busy voting today. We’re yet to see how the outcome will affect our pockets. Hopefully it will be to our gain.