Amendment 3 Passes: What Florida’s New Homestead Exemption Means for You

It is official: Florida voters approved Amendment 3. With 99% of the vote counted, the homestead amendment received just over 62% support, clearing the 60% threshold that every Florida constitutional amendment needs. It is one of the biggest changes to Florida property taxes in years, and if you own a home here, or you are planning to buy one, the timing matters. Here is what passed, what it means for you, and what to do next.

The usual note: I am a Realtor, not a CPA or tax attorney. This is the plain-English version. Confirm the details for your own property with the county property appraiser or a tax professional.

What Amendment 3 Changes

Today, a Florida homestead receives up to $51,411 in exemptions for 2026. The first $25,000 applies to all property taxes, including school taxes. The second portion applies only to non-school taxes. I explain how that works in Florida property taxes explained.

Amendment 3 expands the exemption on the non-school portion of your tax bill:

• $150,000 in 2027
• $250,000 in 2028
• Indexed to inflation after that

The part of your bill that funds schools keeps the existing exemption. That is an important distinction. This is a large cut on the non-school side, not the end of property taxes. Even so, for many homeowners it should mean meaningful savings in the coming years.

The amendment also reduces the annual cap on assessment increases for non-homestead property, such as second homes and rentals, from 10% to 5%.

Timing Is Everything: The December 31, 2026 Line

This is the part I want every person thinking about moving to Florida to understand. Homeowners who establish Florida residency by December 31, 2026 may qualify for the expanded exemption, as long as they meet the normal eligibility requirements.

People who establish residency after that date will generally receive the regular homestead exemption at first, and will need to wait until their fifth year of receiving the homestead exemption before the additional savings apply, subject to what is permitted under the U.S. Constitution. Expect that last part to get attention from attorneys, but for planning purposes, the rule as written is a five-year wait.

Put simply: if you were already planning to make the move in the next year or two, the next eight weeks matter more than they ever have.

If You Already Own a Home Here

If you already receive the homestead exemption on your Florida home, you should not need to do anything to benefit. The larger exemption is scheduled to begin with the 2027 tax year.

If you live here full-time but have never filed for homestead, now is the time. To receive the exemption for 2027, you generally need to own the home and make it your permanent residence as of January 1, 2027, and file with the county property appraiser by March 1, 2027. In Sarasota County that is the Sarasota County Property Appraiser.

And if you own a second home or rental here, the new 5% cap on assessment increases is worth knowing about. It limits how fast the assessed value on non-homestead property can climb each year.

If You Are Planning to Move to Florida

This is where I can help the most. Getting in before December 31 takes two things: owning a home and genuinely establishing Florida as your permanent residence. Neither happens by accident.

• Find the right home and get it closed. Contract to closing typically takes several weeks, so starting now is a must. My guide to closing before January 1 walks through the year-end calendar.
• Establish residency the right way. A Florida driver license, voter registration, vehicle registration, and often a Declaration of Domicile. I cover every step in how to establish Florida residency.
• Talk to a tax professional. Especially if you are leaving a state like New York that may look closely at whether you truly moved.

What I would not do is rush into the wrong house just to beat a date. A home you love in the right community will matter more over the next ten years than any exemption. But if you were already coming, this is a very good reason to come sooner rather than later. If you are weighing the move, my New York to Florida relocation guide is the best place to start.

What It Could Mean for the Market

A few things to watch. First, some buyers who have been on the sidelines may move forward, especially relocating buyers trying to beat the December 31 date. Second, local governments have said they do not expect a significant drop in property tax revenue until fall 2027, with a larger reduction in 2028 when the exemption reaches $250,000, so how cities and counties respond is worth following. Third, property taxes are only one part of affordability. Prices, insurance, and interest rates still matter just as much. You can see where local prices stand in my latest Sarasota market update.

Frequently Asked Questions

I already have homestead. Do I need to reapply?

If you already receive the homestead exemption and nothing about your ownership or residency has changed, the expanded exemption is designed to apply to existing homesteads starting in 2027. Watch for any notice from your county property appraiser, and call them if you are unsure.

Does this apply to condos?

Yes. The homestead exemption is about how you use the property, not what type it is. A condo, townhome, or single-family home that is your permanent residence can qualify. If you are shopping for one, my guide to buying a condo in Sarasota covers what to check first.

Will my school taxes go down too?

Not from this amendment. The expanded exemption applies to the non-school portion of your bill. The school portion keeps the existing exemption, so you will still pay school taxes.

I am a snowbird with a second home here. Does this help me?

The homestead exemption only applies to your permanent residence, so a seasonal second home does not qualify. The new 5% cap on annual assessment increases for non-homestead property does apply, though, which limits how quickly your assessed value can rise. If you are considering making Florida your full-time home, that is a bigger conversation, and my piece on whether snowbirds should rent again or finally buy is a good place to start.

What if I close in December but move in January?

That is exactly the kind of situation to review with a tax professional before you set your closing date. Both the December 31 residency date and the January 1 homestead rules turn on where you actually live, not just when you sign.

Let’s Talk About Your Timeline

If you own a home here and have questions about what this means for you, or you are thinking about making the move before the end of the year, reach out. I will give you an honest read on what is realistic between now and December 31, and connect you with the tax professionals for the parts that are their job.

Sources

Vote totals per NBC 6 Miami and Spectrum Bay News 9. Amendment details per Ballotpedia and Orange County’s Amendment 3 resource page. This article is general information, not tax or legal advice. Results are unofficial until certified.