Property values climb by 11% in Broward as homebuyers keep paying ‘top dollar’
South Florida’s property values have continued climbing amid a big demand for housing and new construction, with Broward this past year seeing an 11.2% increase in taxable value.
That’s according to preliminary figures released Friday by Broward County Property Appraiser Marty Kiar.
Every year since 2012, there’s been an increase is assessed value consistently countywide — but not every city saw a bump each time. This past year, every city increased in value.
That’s good news and bad news: While your home is likely worth more money, that means you’ll be shelling out more cash in taxes this November — even if your city government were to keep its tax rate the same.
The figures are based on sales from Jan. 1, 2022, through Dec. 31, 2022.
The reason: “Broward County has little inventory, and it’s a desirable place to live. And people are coming from freezing states with an income tax to sunny South Florida with no income tax and paying top dollar for single-family homes,” Kiar said. “Also with little room for single-family homes to be built, we see significant investments of building upwards of new-condominium construction. That’s what I believe is driving our tax rolls.”
Among the examples of new construction that’s going higher: 2000 Ocean, a 38-story tower in Hallandale Beach with 63 ultra-luxury residential units. That added $199 million on the tax rolls, Kiar said.
Among the highlights of this year’s figures:
Dania Beach had the highest percentage of increase at 24.4% as a result of new construction and the increase in value of existing properties. Officials attribute a significant portion of the increase to an expansion of a Florida Power & Light plant.
Fort Lauderdale, Broward’s largest city, rings in the largest taxable value at $54.5 billion. It came in 10th in the county for the most expensive place to buy a single-family home, with the median sale more than $646,000. The nine more expensive cities include Hillsboro Beach, Lighthouse Point, Weston and Parkland.
West Park had the highest increase of existing property taxable values at 12.9%. Kiar has some theories on that: West Park perhaps scored the highest increase in values because “there’s still affordable homes in West Park,” which in turn attracts young families and teachers. As demand increases, sales prices rise.
Hallandale Beach followed with an increase of 17.6% in values, when new construction is factored. While Fort Lauderdale remains a destination city, Hallandale Beach residents are drawn to the same ocean, but “for a more reasonable price,” Kiar said.
And there’s no end in sight. Sales across the county remained brisk in 2022 and the median sale for a single-family home countywide was $520,000, according to the property appraiser’s office.
According to their records for 2022:
Sea Ranch Lakes was the most expensive place to buy real estate in Broward, with the median sale at $2.9 million, followed by Southwest Ranches at about $1.4 million.
Pembroke Park was the most affordable place to buy a home, scoring the lowest at a median price of $260,000. That was followed by North Lauderdale at $335,000 and then Tamarac at $354,000.
The figures released Friday will be used by cities, the county, the school district and other local taxing districts to prepare their new budgets for the upcoming fiscal year, which starts Oct. 1, and to set their tax rates. Final values will be issued in July.
Owners with an existing homestead exemption, however, are assured their assessed value will not increase by more than 3% or the change in the National Consumer Price Index, whichever is less, according to state law. The CPI, which measures inflation, increased 6.5% in 2022 from the previous calendar year.
That means because of record inflation, the most relief Broward homeowners could see is a 3% cap on assessed value. There is no cap on the taxable value, however, so expect to pay more.
Palm Beach County’s figures hadn’t been released as of Friday morning. Miami-Dade plans to release its estimates on June 1.
Lisa J. Huriash can be reached at email@example.com. Follow on Twitter @LisaHuriash