Friday, July 5, 2013

NEW LAW ALLOWS LONGER HOMESTEAD RENTALS



           A Florida law enacted in 1996 stated that a homeowner’s rental of “all or substantially all” of his homesteaded property constituted “abandonment,” thereby removing the homestead exemption. One exception to the abandonment: An owner could rent his homestead after Jan. 1 and not lose his exemption for that calendar year, so long as the property was not rented the previous calendar year

           Starting today, however, property owners may rent their homesteads for up to 30 days every year without jeopardizing their homestead exemption. However, they lose the protection of this safe harbor if they rent their property more than 30 days per year for two consecutive years. The law is still unclear regarding how many days beyond the 30-day safe harbor period one can rent in a single year without triggering abandonment of homestead

Read the full article from FLORIDA REALTORS Magazine:

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