Florida Homes and Properties

Archive for July, 2008

If you held title to a particular residential property in Delray Beach, Florida the annual property tax due to the town could be either $600 or $2,800. What determines the value owed? The answer may shock you. Your status as a person domiciled full time in the state of Florida vs. your status as a seasonal resident, aka, “snow birds”. The answer to this question seems to violate the strict scrutiny standard of the equal protection clause of the constitution.

The legislature has seen fit to allow towns to tax “snow birds” several times the amount of tax as they do full time residents. The people who fall into the higher tax bracket would also seem to fall into a protected class of seasonal sate residents. Moreover, this class has a fundamental right to travel pursuant to Federal case law. In a relevant case, seasonal residents alleged that the Department of Labor and Industries wrongfully denied workers compensation rights as unconstitutional because it violated their fundamental right to travel. The court held that the exclusion for seasonal workers unconstitutionally infringed on the seasonal residents’ right to travel and denied them equal protection of the law. The court held that the exclusion constituted a penalty on the seasonal residents’ fundamental right to travel. Macias v. Dep’t of Labor & Industry 100 Wn.2d 263 (1983).

Any such discrimination against an individual in violation of his or her fundamental rights, through state action can only be upheld by a court where the discrimination is justified by a compelling governmental interest, the policy must be narrowly tailored to achieve desired goal and there can not be a less restrictive way to effectively achieve the compelling government interest. McIntyre v. Ohio Elections Com., 514 U.S. 334 (1995); H-CHH Associates v. Citizens for Representative Government 193 Cal.App.3d 1193 (1987).

As a person who has no stake in the subject matter of this article, and an unbiased observer of this tax practice, I can not comprehend what the motivation of the state is for the additional tax outside of simply raising additional revenue by discriminating against those individuals who want to assert their fundamental right to travel. The Florida trial court has held that the a Florida statute providing for additional homestead protection for those residents who lived in the state for more than five years violated the “right to travel and equal protection of the laws under the United States Constitution. Osterndorf v. Turner, 426 So.2d 539 (1983).

In preparing this article, I have questioned several permanent Florida residents regarding the aforementioned tax practice and they all agree that though the state and individual towns clearly need additional police, fire fighters, improved public schools and repair of streets and highways, the burden should not fall on the shoulders of those who utilize the services the least, if at all.

One possible solution to the problem may be a temporary resident tax paid by those who rent through properties more than four months a year, thereby garnishing revenue for the commercial use of residential real estate in Florida. The obvious problem with this solution is that it may have a significant detrimental affect on tourism, the lifeblood of the Floridian economy. Another proposed solution is to bring back the impound tax on automobiles. This tax’s automobiles brought into the state for a prolonged period of time for those cars registered in another state, or owned by “snow birds”. The idea of this tax seems to be more appropriate, in that those who are using the Florida roads will pay a tax for its use, where they are not paying the state for registration.

What is the gist of all of this? There are no easy answers, but disparate treatment through the tax code of a protected class of individuals by way of attempting to limit one’s right to travel is certainly not the least restrictive means to an end.

While all across the nation a housing slump is upon us, one area that is managing to stay relatively unaffected is the Southwest Florida real estate market. In particular, the community of Cape Coral is continuing to see development.

Rated as the fifth fastest growing city in the United States, Cape Coral is welcoming people from all over the country to their seaside paradise. The city is known for its 400 miles of canals that wind their way through the city, which makes it a true water lover’s dream. Nicknamed “Venice of America,” Cape Coral features some of the most affordable waterfront real estate in Lee County.

There are a couple of options for those interested in buying waterfront property in Coral County: freshwater and saltwater access. Homes that face freshwater canals or lakes are generally less expensive than their saltwater counterparts, offering stunning views and a relaxed atmosphere. This option is very popular with freshwater fishermen and wildlife enthusiasts.

If you prefer, you can reside alongside a saltwater canal. This is the best choice for boaters who want easy access to the Gulf of Mexico and other local bodies of water.

Cape Coral has waterfront property for a variety of budgets, from modestly designed freshwater homes to breathtaking luxury estates. The current median price for a waterfront home is approximately $250,000, which is much lower than one would expect to pay in such extraordinary surroundings.

White sand beaches and over 300 days of sunshine make this the ultimate destination for those wanting to relocate to a warmer climate. The average temperature here is a balmy 74 degrees, with winter temperatures dropping slightly to a still pleasant 53 degrees. No winter blues around here!

Recreation opportunities are plentiful, with water sports being at the forefront. Challenging golf courses, nature trails, parks, and bike paths provide dry alternatives to heading out onto the water.

Residents of Southwest Florida are exempt from paying any personal income tax, and there is also no public service tax. This means more money for your pocketbook.

Cape Coral also has the highly desired status of being one of the safest cities in the United States. This feeling of security contributes greatly to the relaxed atmosphere of the area, and is one of the reasons why this Southwest Florida city is so popular with retiring baby boomers.

Safety, recreation, low taxation; these are great reasons to move to Cape Coral. But the best reason to move here is the spectacular scenery. This is truly paradise come to life. Just imagine walking out your backdoor, only to have a majestic body of water beckon you to come out and play. Lie on the beach, play a round of golf, and be sure to catch a fish or two. Life is good here.

Buying a waterfront home is the dream of many people. Your dream can come true in Cape Coral.