DECEMBER 31ST DEADLINE LOOMING FOR SIGNIFICANT TAX SAVINGS  

December 31, 2021 is the deadline for all deeds on property transfers to be recorded in the Miami-Dade County recorder’s office, in order to qualify for homestead exemption in 2022. This includes all title transfers from closing on a home, removing and adding names on property title via Quit Claim Deeds and Life Estate deeds.

Homestead Exemption applications commence on January 1 and run through March 1, 2022. In order to qualify you must prove that you are the property owner and show a deed that was recorded on or before December 31, 2021.

Most real estate attorneys who are title agents, such as myself, record electronically with the county, which means we no longer have to physically go down to the clerk’s office to record the deeds. Rather, we remit them electronically to the Clerk of Court in order to expedite their recording. This results in the deed often reflected as recorded the same day or within 24 hours.

Homestead exemptions can then provide not only significant savings in property taxes but also a cap on yearly increases of 3%, regardless of how much the property appreciates in value from one year to the next.

If you are planning to apply for the homestead exemption, ensure that you meet the following requirements:

  1. You are the property owner.
  2. The property you want to claim the exemption for must be your permanent residence.
  3. The property you want to claim should be the permanent residence of someone you can claim as a dependent on your taxes.
  4. You must have lived at the property on January 1 of the tax year in question. For instance, if you hope to claim the homestead exemption on your 2022 taxes, you must have lived at the property in question on January 1, 2022.
  5. You should not have rented the property for more than 30 days in a given calendar year. This is because renting the property for more than 30 days for two consecutive years or for more than six months is considered an abandonment of the Florida homestead exemption.

If you’re uncertain whether you meet these criteria, get in touch with a real estate attorney who can help you understand the details of Florida’s tax code to determine whether you qualify for the Homestead Exemption.

It is also smart practice to hire a real estate lawyer to represent you whether you are buying a home or wanting to transfer title via a Quit Claim or Lady Bird Deed.  By having an attorney prepare the necessary deeds, and thereafter record them, you ensure your interests are protected every step  of the way, and you are able to take advantage of the tax savings.

With offices in Coral Gables, we have been representing Buyers and Sellers in all their real estate needs, as well as preparing and recording Quit Claim Deeds and other deeds for property transfers for over 23 years.

With only a few more weeks left in 2021, you still have time to beat the clock. Consult with us for all your real estate, buying, selling and closing needs.