Gerson Preston Partner Steven Klein Discusses Tax Reform | Gerson Preston

November 22, 2017


Gerson Preston Partner Steven Klein Discusses Tax Reform | Gerson Preston

Trump wants tax reform. Could it hurt South Florida real estate? –

Steven F. Klein, managing corporate & real estate partner at Gerson Preston accounting firm:

“Given Miami’s status as a coastal market with higher property values, the limitation of the mortgage deduction will have a significant and depressive impact on Florida’s real estate market, especially as interest rates continue to rise and the overall economy improves. While much attention is given to cash only condominium sales, a key driver of Florida’s real estate market remains the purchase of single family homes. Potential home buyers may now hold off on purchasing because of higher costs without the deduction. The impact will be exacerbated by the proposed $10,000 cap on property tax deductions.

“However, because Florida has no state income tax the region may still benefit as we experience continued migration from higher-tax states in the northeast who would be hit harder.”

http://www.miamiherald.com/news/business/real-estate-news/article182644271.html