On November 3, Florida voters will decide Amendment 3, a property tax measure that would change how much of a home’s value gets taxed. It matters to anyone who owns, or plans to buy, a Florida home. This is a plain-English summary of what it says. We are not telling you how to vote; the goal is to help you plan.
What the amendment would do
- Raise the homestead exemption for non-school taxes to $150,000 in 2027 and $250,000 in 2028, with inflation adjustments after that. Today it is roughly $50,000.
- Require the Legislature to set a uniform process that lets counties and cities raise their own homestead exemptions, up to the full assessed value. Special districts could do the same, subject to a referendum.
- Lower the yearly cap on assessment increases for non-homestead property, such as second homes, rentals and vacant land, from 10% to 5%.
- Limit local governments to using property taxes for listed purposes, including public safety, schools, infrastructure, natural resources, debt payments, employee retirement benefits and operations.
- Take effect January 1, 2027, if it passes. It needs 60% of the vote.
What stays the same
- School taxes. Only the first $25,000 of a homestead’s value stays exempt from school taxes, so most homeowners would still see them on the bill.
- Save Our Homes. The cap on yearly increases in a homestead’s assessed value (3% or inflation, whichever is less) continues, and portability is unchanged.
- Local tax rates. Cities, counties and districts still set their own millage rates.
- Non-ad valorem charges. Homestead exemptions do not reduce these, which is how a CDD fee is typically billed.
The rule new residents should know
If you are not a Florida resident on December 31, 2026, the larger exemption does not start right away. You receive the existing exemption first, and the increased exemption begins in your fifth year of exemption, to the extent the U.S. Constitution permits. Residents as of that date can receive the new amounts when they qualify. Implementing legislation could add details.
If you are an Illinois homeowner planning a Florida move, the date you establish residency may matter. Talk with your tax advisor or attorney about it, then let’s plan the timing of the sale and purchase together.
What it could mean for your bill
The Pinellas County Property Appraiser published an illustration using the 2025 countywide average non-school tax rate, assuming the full exemption and no other changes. It shows roughly $1,203 in savings in 2027 and $2,423 in 2028 for a qualifying homestead, at the countywide average rate, so your own rate may differ. Your result will depend on your property, your local rates and any future legislation.
If the amendment passes, the first effects would appear on the August 2027 tax notices and the November 2027 tax bills. Recent buyers, whose assessed value is often close to market value, are likely to see the biggest change.
The debate
Supporters, including the governor and Florida Realtors, back the measure. Opponents, including many city and county governments and public safety groups, point to the effect on local budgets, since property taxes are a main source of local revenue. State economists estimated a revenue reduction of about $5 billion in the first year, and as much as $12 billion a year once it is fully in place.
What to do now
- Buyers: budget with today’s rules, not hoped-for savings. Add insurance, HOA and any CDD to your estimate. See how your first Florida tax bill works.
- Relocating from Illinois: ask about timing before you set a move date, and read our free Relocation Guide.
- Investors and second-home owners: a 5% cap can slow assessment growth, but it does not guarantee a lower bill, and school taxes are not capped.
Sources
General information, not legal, tax or financial advice. Confirm details with your lender, attorney and tax advisor.