Blog · Nov. 12, 2026

Florida's Homestead Exemption After Amendment 3: What Buyers, Owners and New Residents Should Know

Florida voters approved Amendment 3 on November 3, 2026, and it changes property taxes on primary homes starting in 2027. Here is how the homestead exemption works now, what is changing, and the deadlines to keep in mind.

By Lorena Moscoso, Realtor®

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The basics: how the homestead exemption works today

Florida's homestead exemption lowers the taxable value of a home that you own and use as your permanent residence. Under the Florida Department of Revenue's application, Form DR-501, you must own the property and live in it as your permanent home on January 1. You then file with your county property appraiser by March 1 of that tax year. The Osceola County Property Appraiser says there is no fee to apply. Missing the March 1 deadline generally means you give up the exemption for that year. Some counties, including Putnam, accept late filings with an extra form that explains extenuating circumstances. Check with your own county's office.

For the 2026 tax year, the Volusia County Property Appraiser lists a maximum homestead exemption of $51,411. Part of it applies to all property taxes, and part applies only to non-school taxes. Amendment 3 does not change 2026 tax bills, and those bills keep the current amounts.

What Amendment 3 changes starting in 2027

According to Florida Realtors (November 2026), Amendment 3 raises the homestead exemption for non-school property taxes to $150,000 in 2027 and $250,000 in 2028. Annual inflation adjustments begin in 2029. School taxes are not affected by the larger exemption, so you will still pay school taxes on most of your home's assessed value. Florida Realtors also reports that Save Our Homes protections and portability stay the same.

The amendment also lowers the yearly cap on assessment increases for non-homestead property from 10% to 5% for non-school taxes. That cap covers rentals, second homes and commercial property, and the change starts January 1, 2027.

Florida Realtors notes that the Governor plans a special session to implement Amendment 3, and that state and local officials will work out the details. Rules and forms may be updated, so check your county property appraiser's website before you file.

If you are moving to Florida: the December 31, 2026 date

This is the biggest change for people relocating. Florida Realtors reports that homeowners who become Florida residents by December 31, 2026 can receive the larger exemption once they qualify for homestead. People who become residents later receive the existing exemption first. The larger amount starts in their fifth year of homestead exemption, subject to federal constitutional requirements. The Volusia County Property Appraiser describes this as keeping a Florida homestead exemption for four years, with the larger amount starting January 1 of the fifth year.

The Volusia office also says that people who establish residency by December 31, 2026 can get the higher amount when they later buy a home and apply for homestead. Residency is a legal question with its own evidence, such as a driver's license, voter registration and a declaration of domicile. If your move is close to this date, talk with a Florida real estate attorney or CPA about your situation.

Save Our Homes: the cap that builds over time

Starting the year after you receive the homestead exemption, the Save Our Homes cap limits yearly increases in your assessed value. The limit is 3% or the change in the Consumer Price Index, whichever is lower. The Sarasota County Property Appraiser lists the cap at 2.7% for 2026 and 2.9% for 2025. Over time, a home's assessed value can end up well below its market value.

The Pinellas County Property Appraiser points out that improvements such as a new pool are added to the value on top of the cap. Its example also shows that after a sale, the home is reassessed at market value for the new owner.

Buying or selling? Do not rely on the seller's tax bill

Because the cap resets after a sale, the seller's current tax bill can be much lower than what a buyer will pay. Pinellas County warns that removing the cap can double or even triple taxes, depending on how long the previous owner had the exemption. Buyers can use the tax estimator on many county property appraiser websites, including Osceola's, and share the estimate with their lender when budgeting the monthly escrow.

Sellers who plan to buy another Florida home may be able to bring their savings with them. This is called portability. The Palm Beach County Property Appraiser says you can transfer up to $500,000 of your Save Our Homes benefit to a new homestead in Florida. Polk County notes that the new homestead must be established within a set time frame, generally within three years of January 1 of the year you gave up the old one. Portability is requested with Form DR-501T, which is filed alongside your homestead application.

A simple checklist before March 1

1) Confirm that you owned the home and lived in it as your permanent residence on January 1. 2) Gather your Florida driver's license or ID, vehicle registration if you have one, and voter information. 3) Find your county property appraiser: Osceola, Orange, Polk, Miami-Dade or Palm Beach, depending on where the home is. 4) File online or in person by March 1, and add Form DR-501T if you are transferring a Save Our Homes benefit. 5) Ask about other exemptions you may qualify for, such as those for seniors, veterans or people with disabilities. 6) Review your TRIM notice each August to confirm the exemption was applied.

Property tax rules are changing, and county practices differ, so contact your property appraiser or a licensed tax professional with specific questions. If you are planning to buy, sell or relocate in Central or South Florida, contact Lorena Moscoso to talk through your next steps.

Sources

This article was prepared with AI assistance from the public sources listed. It is general market information, not legal, tax or investment advice, and figures may have changed.

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