Will Florida Eliminate Property Taxes? Understanding the 2026 Homestead Tax Amendment
Last Updated: September 10, 2026
Will Florida Eliminate Property Taxes? Understanding the 2026 Homestead Tax Amendment
Last Updated: September 10, 2026
Florida Proposal to Reduce Property Taxes on Homesteaded Homes
What Florida Homeowners and Buyers Need to Know
Florida voters will decide on November 3, 2026 whether to approve one of the most significant changes to the state's property tax system in decades.
Amendment 3, officially titled "Increased Homestead Exemption; Lower Cap on Increases in Non-Homestead Property Assessments," would substantially increase the homestead exemption for qualifying permanent Florida residents, reduce annual assessment increases on certain non-homesteaded properties, and create a process that could allow counties and municipalities to provide even larger homestead exemptions in the future.
Much of the discussion surrounding the proposal has focused on the possibility of eliminating property taxes for homesteaded homeowners. It is important to understand that Amendment 3 would not immediately eliminate all property taxes on Florida homesteaded homes.
School district property taxes would continue to apply.
For Florida homeowners and buyers, particularly those considering establishing permanent Florida residency, understanding exactly what is on the November ballot is important.
September 2026 Update: Amendment 3 Heads to Florida Voters
In June 2026, the Florida Legislature approved CS/HJR 1-F, known as "Save Our Homes from Excessive Property Taxes."
The Florida House approved the measure 75-26 and the Florida Senate approved it 30-9 on June 2, 2026. The resolution was signed by legislative officers and filed with the Florida Secretary of State on June 16, 2026.
The proposal is now Amendment 3 on Florida's November 3, 2026 General Election ballot.
Like other proposed amendments to the Florida Constitution, Amendment 3 must receive at least 60% voter approval to pass.
If approved by voters, the amendment would:
Increase the homestead exemption for non-school property taxes to $150,000 beginning January 1, 2027
Increase the exemption to $250,000 beginning January 1, 2028
Adjust the exemption for inflation in future years
Continue to subject homesteaded properties to school district property taxes
Reduce the maximum annual assessment increase on many non-homesteaded properties from 10% to 5%
Establish a uniform process allowing counties and municipalities to increase the homestead exemption further, potentially up to the full assessed value
Allow special districts, with voter approval, to increase their homestead exemptions
The amendment would take effect January 1, 2027 if approved by Florida voters.
What Is a Homesteaded Property in Florida?
A homesteaded property is a home that qualifies for Florida's Homestead Exemption because it serves as the owner's permanent residence.
To qualify for homestead status, a homeowner generally must:
Own the property
Live in the property as a permanent residence
Be a Florida resident
Apply for the Homestead Exemption with the county property appraiser
Homestead status applies to a primary residence. Second homes, vacation properties and investment properties do not receive the same homestead benefits.
Once approved, homestead status provides several important property tax protections.
Florida Homestead Exemption
Florida currently provides homesteaded homeowners with exemptions that can reduce the taxable value of their primary residence.
The current exemption includes $25,000 applicable to all property taxes, including school district taxes, with an additional exemption of up to $25,000 applying to assessed value between $50,000 and $75,000 for non-school property taxes.
Amendment 3 would substantially increase the exemption applicable to non-school property taxes.
Save Our Homes Assessment Cap
Homesteaded properties are also protected by Florida's Save Our Homes provision, which generally limits annual increases in assessed value to 3% or the percentage change in the Consumer Price Index, whichever is lower.
This protection can prevent dramatic increases in assessed value when Florida real estate values rise rapidly.
What Does "Permanent Residence" Mean in Florida?
For homestead purposes, a permanent residence is generally the place where a homeowner lives with the intent to make it a primary and permanent home.
Factors that may help establish permanent residency include:
Living in the home as your primary residence
Using the address on your Florida driver's license or identification
Registering to vote in Florida
Registering vehicles in Florida
Using the address for official records
Not claiming a homestead exemption or permanent residency benefit in another state
To qualify for a homestead exemption for a particular tax year, the property generally must be the owner's permanent residence as of January 1 of that year.
County property appraisers may consider voter registration, vehicle registration, driver's license information and other records when determining residency.
Does Amendment 3 Eliminate Florida Property Taxes?
No.
This is probably the most important point for homeowners and prospective Florida buyers to understand.
Amendment 3 does not eliminate every property tax on homesteaded homes beginning in 2027.
If approved, it would substantially increase the amount of a homesteaded property's assessed value that is exempt from non-school property taxes.
The exemption would increase to $150,000 in 2027 and $250,000 in 2028, with future inflation adjustments.
School district property taxes would continue.
The amendment would also require the Legislature to establish a uniform procedure allowing counties and municipalities to increase their respective homestead exemptions beyond these amounts, potentially up to the home's full assessed value.
Special districts could also increase their homestead exemptions, subject to voter approval.
Therefore, Amendment 3 creates a path that could potentially result in qualifying homesteaded properties being fully exempt from certain non-school property taxes in some jurisdictions. It does not automatically eliminate those taxes statewide.
How Florida Property Taxes Work Today
Property taxes in Florida fund multiple levels of local government and public services.
A homeowner's annual property tax bill may include taxes levied by:
County government
Cities or municipalities
School districts
Fire districts
Water management districts
Other special taxing districts
Because property taxes provide substantial funding for local government services, proposals to significantly reduce them also raise questions about how those services would be funded in the future.
Florida property owners can review their property's market value, assessed value, exemptions, taxable value and proposed property taxes each year on their TRIM Notice.
If you have questions about your assessment or believe your property has been assessed incorrectly, read our guide:
Evaluating Your TRIM Notice: A Guide for Southwest Florida Property Owners
What Amendment 3 Would Do
If approved by Florida voters on November 3, 2026, Amendment 3 would make several major changes.
Increase the Homestead Exemption to $150,000 in 2027
Beginning January 1, 2027, the homestead exemption applicable to non-school property taxes would increase to $150,000.
Increase the Exemption to $250,000 in 2028
Beginning January 1, 2028, the exemption would increase again to $250,000 for non-school property taxes.
Future increases would be adjusted for inflation.
Preserve School District Property Taxes
The expanded exemption would not apply to school district property taxes.
Reduce the Assessment Cap on Non-Homesteaded Property
The amendment would reduce the maximum annual assessment increase on many non-homesteaded properties from 10% to 5%.
This provision is particularly important for owners of second homes, vacation properties, investment properties and certain commercial properties that do not qualify for the Save Our Homes assessment limitation.
Allow Additional Local Homestead Exemptions
The amendment would require the Legislature to establish a uniform procedure through which counties and municipalities could increase the amount of homestead property exempt from their respective property taxes.
Those exemptions could potentially increase up to the property's full assessed value.
Special districts could also increase their exemptions, but voter approval would be required.
New Florida Residents Would Be Subject to Different Rules
One of the most important provisions for people considering a future move to Florida concerns residency.
Under Amendment 3, people who are not Florida residents on December 31, 2026 would initially receive the existing homestead exemption after qualifying for homestead.
The larger exemption created by Amendment 3 would generally become available beginning with the fifth year of their homestead exemption.
This makes the December 31, 2026 residency provision particularly noteworthy for people already considering establishing Florida as their permanent residence.
Beginning in 2030, the amendment would allow a county or municipality, by a two-thirds vote of its governing body, to determine whether a reduction in the five-year requirement is warranted to address a critical local need.
Anyone making residency, tax or real estate decisions based on this provision should consult the appropriate property appraiser, tax professional or attorney regarding their individual circumstances.
Could Amendment 3 Affect Florida's Real Estate Market?
Possibly.
Property taxes are a significant component of the cost of owning real estate. Reducing non-school property taxes on primary residences could lower annual ownership costs for qualifying homeowners.
Florida already attracts buyers from states with higher income and property taxes. A substantially larger homestead exemption could make permanent Florida residency more attractive to some buyers.
Lower annual ownership costs could also increase purchasing power, potentially affecting demand and home prices in some Florida markets.
However, any market impact will depend on several factors, including local home prices, assessed values, millage rates, the amount of tax savings available to individual homeowners and how local governments respond to reduced property tax revenue.
Buyer Insight: Could We See Increased Demand Before 2027?
The residency provisions could create an interesting dynamic for Florida real estate during the final months of 2026.
If Amendment 3 is approved by voters on November 3, some buyers already considering a permanent move to Florida may have an additional incentive to establish residency before the end of 2026.
The potential window between the November 3 election and December 31, 2026 is relatively short.
Whether this produces a meaningful increase in Florida home sales remains to be seen. However, the residency distinction could become an important consideration for buyers who are already planning to make Florida their permanent home.
A real estate purchase alone should not be assumed to establish Florida residency or eligibility for a particular tax exemption. Buyers should obtain appropriate tax or legal advice regarding their individual circumstances.
Potential Benefits of Amendment 3
Lower Housing Costs for Homesteaded Homeowners
Property taxes are an important component of annual homeownership expenses. A larger homestead exemption could significantly reduce non-school property taxes for many qualifying homeowners.
Greater Stability for Long-Term Residents
Homeowners on fixed incomes, including many retirees, could benefit from lower annual property tax obligations.
Increased Appeal for Permanent Florida Residents
Florida does not impose a state individual income tax. A larger homestead exemption could further reduce the tax burden associated with making Florida a permanent residence.
Additional Protection for Non-Homesteaded Property Owners
Reducing the annual assessment cap from 10% to 5% could provide greater predictability for owners of certain second homes, investment properties and commercial real estate.
Potential Concerns and Drawbacks
Reduced Local Government Revenue
Counties, municipalities and special districts rely heavily on property taxes to fund services.
A substantial reduction in taxable value could reduce local government revenue.
Possible Shifts to Other Revenue Sources
Local and state governments could eventually consider other sources of revenue, including fees, assessments or other taxes, if property tax collections decline significantly.
Unequal Impact Between Homesteaded and Non-Homesteaded Owners
Primary homeowners would receive the largest direct benefit from the expanded exemption.
Second-home owners, investors and renters would not receive the same expanded homestead exemption, although many non-homesteaded property owners would benefit from the lower 5% assessment cap.
Potential Effects on Housing Prices
If lower property taxes increase purchasing power or make Florida permanent residency more attractive, increased demand could potentially influence home prices in some markets.
Limits on How Local Property Tax Revenue Could Be Used
Amendment 3 would also place restrictions on how counties and municipalities may use property tax revenue.
Permitted uses would include areas such as:
Public safety, including law enforcement, fire services and emergency medical services
Education and public schools
Roads, bridges and other infrastructure
Stormwater and flood control
Natural resource projects
Debt service and certain bond obligations
Retirement benefits for local government employees
Government operations and administration
The amendment also provides a mechanism for certain other expenditures to be approved by county officers or county or municipal governing bodies unless prohibited by general law.
Supporters view these provisions as a way to focus property tax revenue on important government functions. Critics have raised concerns about potential effects on local flexibility and government budgets.
Potential Impact on Local Governments and Public Services
The debate over Amendment 3 is not simply about whether homeowners should pay less in property taxes.
It is also about how Florida communities would fund services if a substantial amount of residential property value becomes exempt from taxation.
Supporters argue that Florida homeowners should receive greater property tax relief and that local governments should control spending as property values and tax collections increase.
Critics and some local government organizations have expressed concern that larger exemptions could reduce revenue available for public safety, infrastructure, conservation, parks and other community services.
The actual impact would vary significantly by county and municipality because Florida communities have different property values, tax bases, budgets and reliance on property tax revenue.
What Happens Next?
The Florida Legislature has completed the process necessary to place Amendment 3 before voters.
The next decision belongs to Florida voters.
The 2026 General Election will be held November 3, 2026.
Amendment 3 must receive at least 60% voter approval to become part of the Florida Constitution.
If approved, the amendment would take effect January 1, 2027.
The first major change would be the increase in the non-school homestead exemption to $150,000 in 2027. It would increase to $250,000 in 2028.
Additional legislative action would also be necessary to establish the uniform procedure allowing counties and municipalities to increase their homestead exemptions further.
What Should Florida Homeowners Do Now?
For now, homeowners do not need to take action specifically because of Amendment 3.
Continue to review your annual TRIM Notice, verify that your exemptions are correct and make sure the county property appraiser has accurate information about your property.
If you currently qualify for Florida's Homestead Exemption but have not applied, contact your county property appraiser to determine the appropriate filing requirements and deadlines.
If you are considering establishing Florida residency, particularly before the end of 2026, speak with a qualified tax or legal professional about the residency requirements and how the proposed amendment could apply to your individual situation.
Frequently Asked Questions About Florida Amendment 3 and Property Taxes
Is Florida eliminating property taxes in 2026?
No. Florida has not eliminated property taxes. Voters will decide on Amendment 3 on November 3, 2026. The amendment would significantly increase the homestead exemption for non-school property taxes, but it would not immediately eliminate all property taxes on Florida homesteaded homes.
What is Amendment 3 on the Florida ballot in 2026?
Amendment 3 is a proposed constitutional amendment that would increase the homestead exemption for non-school property taxes, reduce the annual assessment cap on many non-homesteaded properties from 10% to 5%, and establish a process allowing local governments to potentially increase homestead exemptions further.
How much would the Florida Homestead Exemption increase?
If Amendment 3 passes, the exemption applicable to non-school property taxes would increase to $150,000 beginning January 1, 2027 and $250,000 beginning January 1, 2028, with future adjustments for inflation.
Would school property taxes still be charged?
Yes. School district property taxes would continue to apply.
Would every Florida homeowner receive the $250,000 exemption?
No. The expanded exemption applies to qualifying homesteaded properties and includes different rules for people who were not Florida residents on December 31, 2026.
What happens if I move to Florida after 2026?
People who are not Florida residents on December 31, 2026 would generally receive the existing homestead exemption upon qualifying. The increased exemption would generally become available beginning with the fifth year of their homestead exemption, subject to the provisions of the amendment and applicable law.
What happens to second homes and investment properties?
Second homes, vacation properties and investment properties do not qualify for the Homestead Exemption. However, Amendment 3 would reduce the annual assessment increase cap on many non-homesteaded properties from 10% to 5%.
Does Amendment 3 eliminate property taxes on homesteaded homes?
No. It substantially increases the exemption from non-school property taxes and establishes a process through which counties and municipalities could potentially increase exemptions up to the full assessed value. School district property taxes would remain.
How many votes does Amendment 3 need to pass?
A proposed amendment to the Florida Constitution must receive at least 60% voter approval.
When is the vote on Florida Amendment 3?
Florida voters will decide Amendment 3 during the General Election on November 3, 2026.
When would the new property tax changes take effect?
If voters approve Amendment 3, it would take effect January 1, 2027. The non-school homestead exemption would increase to $150,000 in 2027 and $250,000 in 2028.
Could Amendment 3 affect Florida home prices?
Possibly. Lower ownership costs could increase purchasing power or make Florida permanent residency more attractive to some buyers. Any effect on home prices would depend on market conditions, location and buyer demand.
Where can I see my current property assessment and exemptions?
Florida property owners receive an annual TRIM Notice showing market value, assessed value, exemptions, taxable value, proposed millage rates and estimated property taxes.
If you believe your property's assessment may be incorrect, read our guide to reviewing and challenging your TRIM Notice.
Evaluating Your TRIM Notice: A Guide for Southwest Florida Property Owners
What This Could Mean for Southwest Florida Real Estate
For Sanibel, Captiva and Southwest Florida property owners, Amendment 3 is worth watching closely.
Our market includes a significant mix of permanent residents, second-home owners and investment property owners. That means different provisions of the amendment could affect property owners differently.
Permanent residents may benefit from the substantially larger homestead exemption. Owners of non-homesteaded properties may benefit from the proposed reduction in the annual assessment cap from 10% to 5%.
For buyers considering making Southwest Florida their permanent home, the residency provisions could also become an important part of long-term ownership planning.
Pfeifer Realty Group will continue monitoring Amendment 3, Florida property tax legislation and the potential effects on Sanibel and Captiva property owners and buyers. We will update this article as additional information becomes available.