Local Realtors watched and waited on the sidelines as Florida legislators debated ways to lower property taxes.

Now that state lawmakers have agreed on a plan that includes Save Our Homes portability, agents say the local market could get a much-needed boost.

“I believe the portability portion of that initiative is likely to be a positive stimulus for local buyers to move up, move down, move around,” said Jim Scartz, president of the Bonita Springs-Estero Association of Realtors.

Save Our Homes caps annual assessment increases at 3 percent on properties with homestead exemptions. But it has left some homeowners feeling trapped because they can’t take their savings with them if they move. If they’re not moving, they’re not selling, and they’re not buying.

The plan legislators approved late Monday would allow homeowners with the Save Our Homes cap to take up to $500,000 in savings with them when moving to a more expensive home within Florida. Even homeowners moving to a less-expensive home could take a percentage of their savings with them.

Voters still must approve the plan on Jan. 29. But if it gets a thumbs up, it would be retroactive to buyers who purchased homes this year.

“I believe there are some families and buyers that were waiting for this initiative. There is pent-up buying power that is local,” said Scartz, a broker/manager with John R. Wood Realtors Inc. in Bonita Springs.

With lower interest rates and asking prices, portability could be the “last piece of the puzzle for local buyers,” he said.

The plan comes as Collier County continues to see a decline in prices and sales. A report by the Naples Area Board of Realtors shows the median home price in the third quarter fell to $375,000, down $15,000 from the previous quarter. There were 786 closed sales, down from 1,326 in the second quarter and 961 a year ago.

In Lee County, 327 existing single-family homes sold in September, down 53 percent from 693 a year ago, according to the Florida Association of Realtors. The median home price fell 11 percent to $231,600.

There is more than a three-year supply of homes on the market in both Naples and Fort Myers.

The property tax plan approved by legislators also would double the state’s $25,000 homestead exemption and cap assessment increases on commercial buildings, vacation homes and investment properties to 10 percent a year.

“If you pull one item out, then it doesn’t work as well as when it is combined with all of the other pieces,” said “JJ” Jones, president of the Realtors Association of Greater Fort Myers and the Beach.

With the doubling of the homestead exemption, homeowners in Lee and Collier counties are expected to save anywhere from $130 to $140 a year in taxes.

There seems to be universal agreement by real estate agents and builders that portability is the most important part of the plan. Many, however, feel that more needs to be done to reduce homeowner costs and get the real estate market back on track.

“This will absolutely give some relief. But it’s not a true solution to the problem,” said Michael Reitmann, executive vice president of the Lee Building Industry Association.

He noted that lawmakers have yet to deal with the rising cost of homeowners insurance.

“We were very fortunate that we did not have a major hurricane. Otherwise, we would be in deep trouble, especially when it comes to insurance. We have just been spared.”

Brenda Talbert, executive vice president of the Collier Building Industry Association, called the plan a “good beginning.”

“I think everybody is expecting a lot more on tax reform to be meaningful,” she said. “But it’s daunting. There is so much involved with that. You don’t want to put the counties or state in an economic crisis at the same time.”

She said builders are concerned that they could see more local taxes and fees with the statewide cuts.

“Right now we feel we are being taxed to death,” Talbert said.

Kelly Lauman, general sales manager for Pulte Homes of Southwest Florida, said the plan is “definitely a step in the right direction.”

“At this point, any good news is positive for us,” she said.

Joe Ballarino, president and chief executive of Amerivest Realty in North Naples, didn’t favor allowing homeowners to take their entire Save Our Homes benefit with them when they moved.

He’s concerned about how that will hurt local governments.

“Any portability is better than none,” he said. “That’s for sure.”

He doesn’t expect to see much of an impact from the plan until voters approve it and he expects they will.

He said portability is “way overdue.”

“This will certainly improve any price softness we’ve had over the past two years,” he said. “This will help to bring back pricing because we will have more buyers in the marketplace.”

When demand is up, prices generally rise.

When people don’t move, the quality of real estate tends to go down because they aren’t continuing to invest in their homes as time goes on, Ballarino said.

“I like to see people moving on a regular basis. It keeps neighborhoods nice and the houses up to speed. It’s better for everybody,” he said.

Lee County Property Appraiser Ken Wilkinson, the father of the original Save Our Homes amendment, said he couldn’t be happier that portability has been included in the property tax plan. He’s glad to see that school taxes won’t be exempted from the ported savings, which could have cut the benefit by almost half.

“With the market becoming a buyers’ market, I would anticipate this will further encourage buyers,” Wilkinson said.

He said he’s going to be out promoting the proposal in hopes that it will pass on Jan. 29.

“I’m hopeful,” he said. “That is all you can do sometimes. Hope.”

Like others, he wants to see state lawmakers do more.

“I always have the belief that you get what you can when you can and you come back for more,” Wilkinson said.

TALLAHASSEE — Responding to skyrocketing coastal property values and taxes, Florida lawmakers Monday passed a proposed constitutional amendment backers say would cut local property taxes by $12.5 billion over the next five years

After 11 days of number crunching and posturing, House and Senate members agreed to double the state’s $25,000 homestead exemption and allow homeowners to take tax cap benefits with them when they move.

Further, lawmakers agreed to expand the tax cap concept by limiting assessment increases on commercial structures, vacation homes and investment property to 10 percent a year.

But in a late-filed counter proposal, the Senate stripped other House-backed provisions affecting low-income elderly residents, first-time home buyers and waterfront businesses.

The omissions prompted many to criticize the plan as an opportunity lost, but others saw the compromise measure as a glass half full.

Allowing homeowners to take their Save Our Homes savings with them, a concept known as portability, would help jump-start the real estate market, a major economic engine. Backers also pledged to continue reform efforts.

“Tax reform and relief is not over. We’re coming back next year and hopefully the year after that,” said Rep. Nick Thompson, R-Fort Myers. “We can always come back and address this issue. And I intend to and I hope you are too.”

Others, however, said the hit to schools and other scuttled provisions were a rallying cry for many who said the taxpayer benefits didn’t justify the cuts to schools.

“This is not even close to being good enough,” said House Democratic Leader Rep. Dan Gelber, D-Miami Beach.

Voters must approve any changes Jan. 29, when members of both parties also cast ballots in the state’s presidential primary election.

Citing polls and facing a requirement that any proposed constitutional amendment must be approved by 60 percent of voters, leaders said a more comprehensive package of savings wouldn’t pass. Instead, lawmakers accomplished what they could.

The plan increases the homestead exemption from $25,000 to $50,000. The additional exemption would not apply to taxes levied by public schools, which are required under another constitutional amendment to reduce class size.

Based on 2006 tax levies, Collier County homeowners would save an additional $140 a year. Lee County homeowners would annually save about $130.

Moreover, the proposal expands the popular Save Our Homes measure, allowing homeowners to take accrued savings with them if they purchase a new, more expensive home.

A homeowner whose current home is now worth $300,000 but is paying taxes on $200,000 because of Save Our Homes, can take that $100,000 cushion with them to lower their taxable value on their new home..

A person who buys a less expensive home will carry a portion of the tax savings with them.

Sen. Burt Saunders, R-Naples said the relief package comes at a critical time as the Florida real estate market suffers from stagnant housing stock and a foreclosure rate three times the national average. Allowing portability will help, but lawmakers must do more.

“There will be other things coming down the pike in future legislatures, but this package is very good,” Saunders said.

The final Senate version removed benefits to first-time home buyers and a House-backed plan to base homestead exemption on a county’s median value home that would have provide more relief to Southwest Florida homeowners.

The portability provision by itself was enough for many lawmakers to support a plan that was much less aggressive than previous plans.

“The baby in this bathwater is portability and if we don’t deliver portability and some tax reforms to the citizens of Florida they’re going to be upset, because it’s what we need to jump-start this economy,” said Rep. Garrett Richter, R-Naples. “This is very mediocre, but it’s better than nothing.”

The tax package, which is expected to save homeowners $240 a year, would cost school districts more than $2 billion in lost revenue over the next five years.

Sen. Dave Aronberg, D-Greenacres, said the ability of homeowners to purchase new homes would help jump-start the real estate market and by doing so will further insulate schools from lost revenue.

“I think this bill will pay for itself,” Aronberg said.

Contact this correspondent at mpeltier1235@comcast.net.