50-Year Mortgages, Mortgage Portability & Florida’s Property Tax Proposal: What Cape Coral Homeowners Need to Know
From affordability challenges to new policy proposals, there’s a lot happening in the real estate world right now especially here in Cape Coral and Southwest Florida.
At The Kolev Group, we stay on top of the trends that could impact our buyers, sellers, and homeowners. In this post, we’re breaking down three hot-button topics:
50-year mortgages
Mortgage portability
Florida’s proposal to eliminate property taxes for full-time residents
Let’s dive into what these changes could mean for you.
The 50-Year Mortgage: Helpful or Harmful?
What it is:
A proposed loan option that extends the mortgage term to 50 years to reduce monthly payments and improve affordability.
Why some people like it:
Lower monthly payments (about $300–$360 less vs. a 30-year loan on a $500k home)
Could help first-time buyers qualify for more
Offers an alternative path to homeownership
But here’s the catch:
📉 In the first 10 years, you build very little equity - only about $19,000 compared to $80,000 with a traditional 30-year loan
💸 You could pay nearly double in interest over time - $1.2M vs. $680K on a $500K home
😬 Many borrowers may stretch themselves financially to “afford more” house leading to higher risk
Our take:
This mortgage structure might work as a short-term tool, but only with a clear plan to refinance or sell within 5–10 years. For most people, it increases long-term financial risk.
Mortgage Portability: Could You Take Your Low Rate with You?
What it is:
A concept being discussed that would allow homeowners to “port” their existing mortgage rate (like 2.5–3%) to a new home, essentially transferring their mortgage to a new property instead of starting from scratch.
Why this matters:
Helps homeowners avoid losing their low interest rate
Could unlock the frozen move-up market by making it easier to upgrade
Would allow more families to right-size their homes without doubling their monthly payment
What we know so far:
It’s still in development and not officially available. Most experts believe it would work similarly to a 1031 exchange, only for your mortgage, not an investment property.
Our take:
This could be a game-changer for the housing market, especially in Florida. We're watching this closely, and if it becomes reality, we’ll help you navigate how to use it to your advantage.
Florida’s Property Tax Proposal: Relief for Full-Time Residents?
Governor Ron DeSantis recently proposed a bold plan: eliminate property taxes for full-time Florida residents.
Here’s how it would work:
Property taxes would be removed for homesteaded, full-time residents
Lost revenue would be replaced with increased sales tax (which largely affects tourists and non-residents)
Investment properties and vacation homes would still pay traditional property tax
Why it could matter:
Many homeowners in Cape Coral pay $6,000–$10,000 per year in property taxes
Removing that would add $300–$800/month back into the average family’s budget
Could boost affordability and attract more full-time residents to Florida
What about Cape Coral’s revenue?
Some articles are sounding the alarm, saying cities like Cape Coral could lose 40% of their tax revenue. That’s true, but the plan includes offsetting this with tourism dollars via sales tax. It’s a shift, not a disappearance.
Our take:
This could be a massive win for Floridians and especially for Cape Coral homeowners! It makes full-time residency more affordable and could drive demand and value in the long run.
What It Means for You
🏡 Thinking of buying? A 50-year mortgage might get you in the door, but we’ll help you run the numbers on long-term costs first.
🏠 Thinking of selling? Portability and tax changes could bring more buyers back to the market. You’ll need a strong pricing and marketing strategy.
🔎 Just watching the market? Stay informed! Shifts like these can affect your equity, taxes, and future options.
Want to talk strategy or explore your next move?
📞 Call or text us today
📧 infor@thekolevgroup.com
We're not just here for the transactions. We're here to help you make smart real estate decisions, every step of the way!