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Florida Housing Affordability: Two Solutions That Might Not Be Solutions At All
There are two things being talked about right now that are supposed to make housing more affordable in Florida. One is a policy change, one is a housing trend. I am not here to tell you what to think about either one. I am just following the data and the logic.
First, the property tax elimination proposal. Florida already has no state income tax. Add no property tax for primary homeowners and Florida becomes one of the most tax friendly states in the country. That sounds amazing, and honestly I would love to truly own my home without paying the government rent forever. But more people wanting to move to Florida means more demand. More demand in a constrained market means higher prices. The policy that is supposed to help affordability might actually make it worse.
Second, manufactured homes. In theory more supply at a lower price point helps. But private equity has been buying up the land these homes sit on at an alarming rate. They know residents cannot easily move a manufactured home, so they can raise lot rents arbitrarily. And they have. The families this is supposed to help the most are actually the most vulnerable because this solution has predatory pricing baked right into it.
Both of these look like solutions on the surface. Both have mechanisms that could make things worse for the people they are supposed to help.
So what do you think? Would eliminating property taxes make Florida housing more or less affordable? And are manufactured homes a real solution or just another way for investors to take advantage of people who have no other options? Drop your thoughts below, I read every comment.
Like, subscribe, and thanks for having a cup of Joe with me.
#FloridaRealEstate #CentralFloridaRealEstate #RealtorJoe #CupOfRealtorJoe #FloridaPropertyTax #ManufacturedHomes #HousingAffordability #OrlandoRealEstate #RealEstateTips
Видео Florida Housing Affordability: Two Solutions That Might Not Be Solutions At All канала Cup of REALTOR® Joe
First, the property tax elimination proposal. Florida already has no state income tax. Add no property tax for primary homeowners and Florida becomes one of the most tax friendly states in the country. That sounds amazing, and honestly I would love to truly own my home without paying the government rent forever. But more people wanting to move to Florida means more demand. More demand in a constrained market means higher prices. The policy that is supposed to help affordability might actually make it worse.
Second, manufactured homes. In theory more supply at a lower price point helps. But private equity has been buying up the land these homes sit on at an alarming rate. They know residents cannot easily move a manufactured home, so they can raise lot rents arbitrarily. And they have. The families this is supposed to help the most are actually the most vulnerable because this solution has predatory pricing baked right into it.
Both of these look like solutions on the surface. Both have mechanisms that could make things worse for the people they are supposed to help.
So what do you think? Would eliminating property taxes make Florida housing more or less affordable? And are manufactured homes a real solution or just another way for investors to take advantage of people who have no other options? Drop your thoughts below, I read every comment.
Like, subscribe, and thanks for having a cup of Joe with me.
#FloridaRealEstate #CentralFloridaRealEstate #RealtorJoe #CupOfRealtorJoe #FloridaPropertyTax #ManufacturedHomes #HousingAffordability #OrlandoRealEstate #RealEstateTips
Видео Florida Housing Affordability: Two Solutions That Might Not Be Solutions At All канала Cup of REALTOR® Joe
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