Contract For Deed And Homestead Exemption
I want to make sure that I can keep the homestead exemption on my current residence (that I'm selling subject-to or L/O) because property taxes down here are a HUGE issue...
I'm willing to forego claiming an exemption on my next house in order to keep it on my current home, but if I'm selling subject-to through a contract for deed, is this possible?
Also, is it correct to assume that I would continue taking the tax deduction for the mortgage interest while the deed is still in my name, regardless of who's paying the mortgage? (may be the wrong forum to ask that question)
Anyone?
I'm sure someone has dealt with these questions before, whether selling subject-to or buying subject-to and explaining the tax exemption repercussions to the sellers...
I'm sure there are some ramifications if the state finds out that you are filing homestead on a property that is no longer your primary residence.
Here are some links that I found
http://www.co.palm-beach.fl.us/propapp/pahomstd.htm
http://www.palmbeachmove.com/taxes.htm
Chris
Man you are asking for trouble if anyone finds out. Besides having the exemption is more important than the taxes.....Yes I am in Florida also and I understand your pain but I would not chance it. If you are in the investing business and STUFF hits the fan why loose everything?
I totally agree that it's not legal - but geeeeez, it's a huge problem.
I answered my own question with the first phrase.
Going to have to allow the new owner to take the deed, then, and file homestead, themselves...but then there goes my protection. :(