TBO.com - TBO is Tampa Bay Online

Highlands Today

Tax Base Could Drop Up To 20 Percent

ADVERTISEMENT

By JIM KONKOLY

Highlands Today

Published: February 10, 2009

SEBRING - Following an 8.4 percent decrease last year, the total taxable value of property in Highlands County could drop by more than twice that rate this year, according to Highlands County Property Appraiser Raymond McIntyre.

"We're estimating a 15 to 20 percent reduction in the overall taxable value of real estate in the county," McIntyre said Monday, as a guest speaker before the Highlands County Homeowners Association.

McIntyre said he was giving only a rough estimate, adding that, "We won't have any solid numbers until April."

Almost all of the decrease in the county's tax base is coming on residential properties and vacant land, as commercial and industrial property values are staying stable, he said.

"Industrial and commercial properties are holding their value," McIntyre said. "We don't see any drastic reduction in prices in the commercial market."

The stability of commercial property values, though, is not universal throughout the county.

"A lot of it depends on location," McIntyre said. "Those areas on US 27 or just off it appear to be strong still. We don't see the declining values that we are seeing on the residential tax roll."

McIntyre said a realistic view of the declining tax base has to take into account the large increases from 2005 through 2007 during the housing boom.

The county's total taxable value on real estate increased by 8.4 percent in 2004, by 19.6 percent in 2005, by a whopping 41.3 percent in 2006, and by 16.7 percent in 2007.

Last year's 8.4 percent decline dropped the county tax base down to just under $6.3 billion.

"We had some big increases over those four years (2004-2007) and now we're tracking down as the market declines," McIntyre said. "Hopefully, its not going to be a deep decline for the sake of the people who have their money invested in the real estate.

"At some point it will level off and we'll see a more normal curve" in real estate values, he added. "The big questions now are, where will it level off, and when?"

Highlands Today reporter Jim Konkoly can be reached at 863-386-5855 or e-mail jkonkoly@highlandstoday.com

Share this:

Loading Comments...

Email Print

ADVERTISEMENT