Purchasing a home is a significant milestone for anyone, but for disabled veterans, it can come with an additional burden – the looming prospect of property taxes affecting their debt-to-income (DTI) ratio during loan underwriting. The good news is that there’s a potential solution on the horizon: Senate Bill 172 (S.B. 172) in Florida.

Currently, Permanently and Totally disabled veterans become eligible for their tax exemption only after they’ve purchased their homes. This forces them to factor property taxes into their DTI ratio, even though it’s not a long-term liability. It’s a catch-22 situation that adds financial stress to those who’ve already given so much to our country.

S.B. 172 seeks to remedy this situation by allowing the tax exemption to take effect at the closing of the home purchase. In simpler terms, Permanent and Totally disabled veterans won’t need to worry about property taxes affecting their DTI ratio anymore. This change could free up thousands of dollars in potential loan funds, making homeownership more accessible to those who’ve served our nation. Furthermore, it eliminates the need for lenders to collect funds for a tax escrow account, as these funds were already destined to be returned to the veteran once the tax exemption took effect.

If this bill passes, it will become effective on July 1, 2024. However, for this to become a reality, we need your support and action. Please take a moment to visit this website, where you can send a pre-made letter to your state representative. It’s a quick and free way to make your voice heard and help our disabled veterans achieve a well-deserved financial break. It only takes a minute, but your support could make a world of difference to those who’ve served our nation.

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