Taxes up but services haven’t improved
 

Editor,

 

I have been reading the reports in EarlyBird and would like respond to the things written about Crist’s efforts to reduce taxes. In Miami, from 2004 to 2006, the taxes have pretty much doubled over two years for (non-homesteaded) rental property.

 

I own several properties in very nice areas that I keep in pristine condition so that I will attract tenants who are pleased with their homes and glad to live in a house that they themselves would be proud to own. The houses are located in the upper eastside of Miami mostly, an area where affordable decent rentals do not exist. People who work at the hospitals, airport or downtown only have to commute 10 or 15 minutes to work … a great savings economically and environmentally.

 

To this day, I have not made any kind of profit, having to put at least $10,000 to $20,000 a month to cover mortgage, taxes and insurance. This has been all right with me because the property was appreciating; and if it became too much of a burden, I could always sell one to maintain the others.

However, this year I not only am not making any profit on paper, I cannot sell any of the properties because there are three times as many homes for sale as there were last year. My monthly contribution is way over $60,000 and I will soon run out of money.

My arguments are:

Number one: I can recognize no better services afforded me by the county and the city than I had fifteen years ago; however, I am now paying separately for garbage fees in some areas and a fire fee that is illegal. It would be good for you to investigate the terrible scandal regarding our city commission with regard to fire fees (a new tax). How can the city justify a $14,000 tax on a two-bedroom, two-bath home of less than 1500 square feet?

Number two: What does “protecting” mean when a modest three-bedroom, two-bath home has a windstorm policy that’s over $5,000? If the banks and mortgage companies continue to require three insurance policies on our Miami properties, they will soon be sitting with thousands of foreclosures. And if the municipalities continue to rip out of our pockets $5,000 to $7,000 more in taxes than they did in 2004, they will find no one to pay them.

 

Number three: What about the elderly people on the beach who bought their condos for $20,000 or $30,000 many years ago? How will they pay the maintenance fees that will skyrocket while their retirement savings do not?

Number four: I have been at my residence for forty years. I am locked into a 14-room, five-bath house with a tax of $5,000. Should I need to move into an apartment for the same value as my home, the taxes would be $25,000.

Governments, banks, mortgage companies, developers and the entire building industry are on the verge of a huge nightmare, not to mention the ordinary citizens whom they supposedly serve. The economic growth for next year is forecast as down because of the housing industry, and I assume that includes all the suppliers, all the laborers, all the places they buy things, etc. etc.

 

I guess the only place with a lot of business will be the hospitals. How did the politicians let these things get so out of hand and, let’s face it, politicians will not do anything about it.

Norah Schaefer
Norah Schaefer, Inc.
Miami

 

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