Florida Property Taxes Explained: What You'll Actually Pay in Orlando (2026)

Florida's property tax system is more complicated than the "no state income tax" headline suggests. Buyers who've done their research know about the homestead exemption and Save Our Homes, but they often don't realize that the effective rate varies meaningfully by city and unincorporated area — and that CDD fees can add thousands more on top of the ad valorem tax.

Here's exactly how property taxes work in the Orlando area, what the rates actually look like in 2026 by location, what three sample homes cost, and the one reset that catches almost every new buyer.

2026 update: Florida lawmakers placed a major property tax cut on the November 2026 ballot that would raise the homestead exemption to as much as $250,000 on non-school taxes. It isn't law yet — read Florida Property Tax Relief in 2026 for what could change, who benefits most, and the five-year trap for new residents.

How Florida property taxes are calculated

Florida property taxes are ad valorem — "according to value." The core formula:

Taxable Value × Millage Rate = Annual Tax

One mill equals $1 per $1,000 of taxable value, or 0.1%. A rate of 16.2 mills means $16.20 per $1,000 — about 1.6% of taxable value.

The assessed value is set by the county Property Appraiser (a separately elected official, not the tax collector). For a new purchase, the just (market) value and assessed value start at the same number — roughly your purchase price. Exemptions then reduce the taxable value:

Taxable Value = Assessed Value − Exemptions

So for a homesteaded property with about $51,000 in exemptions, the taxable value is the assessed value minus that amount, and your bill is the taxable value times the combined millage rate for that exact location.

Millage rates by location in the Orlando area (2026)

Millage rates combine multiple overlapping taxing authorities: county general, school district, water management, library, fire/EMS, and any applicable city millage. They're set each late summer/fall for the following tax year. These are approximate 2025–2026 combined rates — always verify the exact figure for a specific address.

Location	Approx. total millage	Notes
Unincorporated Orange County	~16.2 mills	The base rate most Orlando-area homes fall under
City of Orlando	~18.1 mills	Adds a city millage layer on top of county services
City of Winter Park	high-16s to ~18 mills	Own city millage, with city-provided fire and parks
Town of Windermere	~16–17 mills	Small town millage; very limited municipal services
Unincorporated Seminole County	~14.5–16 mills	Generally lower than Orange — a real difference across the county line
Lake Nona (unincorporated Orange)	~16–17 mills + CDD	Base county rate plus a CDD assessment that matters more for total cost

The single largest piece of every Orlando bill is the Orange County Public Schools millage (~6.5–7.4 mills), and it's constant countywide — most of the variation you see between locations comes from the city/municipal layer added on top.

Always verify the specific millage for an exact address before closing. The Orange County Property Appraiser (ocpafl.org) allows address-level lookups, and the Tax Collector (octaxcol.com) shows the actual prior-year bill.

Property tax rates by Central Florida county

For buyers shopping across county lines, here are approximate effective rates. These reflect what a recent buyer actually pays as a share of value — they do not include CDD assessments, which can add a full percentage point or more in master-planned communities.

County	Typical effective rate	Notes
Orange	1.4%–1.7%	Largest metro county; City of Orlando at the high end
Seminole	1.2%–1.5%	Generally lower than Orange; strong schools
Osceola	1.3%–1.7%	Varies by municipality (Kissimmee vs. unincorporated); many CDD communities
Lake	1.1%–1.5%	Generally lower; less urban density
Polk	1.2%–1.6%	Varies widely by city (Lakeland vs. Davenport vs. Winter Haven)

A note on "1%" rates. You'll often see Florida property taxes quoted near 1%. That figure reflects long-time homesteaded owners whose assessed value has been compressed for years by the Save Our Homes cap. As a new buyer, you're assessed at close to what you paid, so budget 1.4%–1.6% of purchase price for year one — not the headline average.

Sample calculations

Example 1 — $500,000 home in unincorporated Orange County

Homesteaded (primary residence):

• Assessed value: $500,000 (resets to market at purchase)
• Taxable value: ~$449,000 (after ~$51,000 homestead exemption)
• Millage: ~16.2 mills
• Annual tax: ~$7,300

As an investment property (no homestead) at $500,000 taxable and 16.2 mills, the bill is about $8,100 — and without homestead, there's no Save Our Homes cap protecting future increases.

Example 2 — $1,000,000 home in the City of Orlando (homesteaded)

• Taxable value: ~$949,000 (after exemption)
• Millage: ~18.1 mills
• Annual tax: ~$17,200

After several years under the Save Our Homes 3% cap, your assessed value lags the market — so a long-held owner pays meaningfully less than a brand-new buyer of the identical home next door. That growing gap is the quiet financial reward of homesteading early.

Example 3 — $2,000,000 home in Lake Nona with CDD (homesteaded)

• Taxable value: ~$1,949,000 (after exemption)
• Millage: ~17 mills
• Ad valorem tax: ~$33,100
• CDD fee (e.g., Laureate Park): ~$3,500/year
• Total property-related charges: ~$36,600/year

That CDD line is the real carrying cost that catches buyers off guard — and it's on top of HOA dues, which can add another $2,400–$4,800/year.

The homestead exemption: how to reduce your bill

Florida's homestead exemption reduces the assessed value of your primary residence. It comes in two $25,000 tiers — the first against all taxing authorities, the second (on assessed value between $50,000 and $75,000) against non-school taxes only. Thanks to Amendment 5 (passed November 2024), that second tier is now inflation-indexed, so the total exemption is $50,722 for 2025 and $51,411 for 2026 and rises automatically each year.

Filing requirements:

• File by March 1 of the year you want the exemption applied
• Apply at your county property appraiser's website (online in most counties)
• Florida driver's license or ID showing the property address
• Social Security number and the property's parcel/folio number

County filing websites:

• Orange County: ocpafl.org
• Seminole County: scpafl.org
• Osceola County: property.osceolafl.org
• Lake County: lakecopropappr.com
• Polk County: polkpa.org

Miss the March 1 deadline and you wait a full year. File the day you get your keys — and read our dedicated Florida Homestead Exemption guide for the step-by-step.

Save Our Homes: the long-term value multiplier

After your first homesteaded year, Florida's Save Our Homes (SOH) cap limits annual increases in your assessed value to 3% or CPI, whichever is lower — even when market value jumps far more. Over time the gap compounds into real money:

Year	Market value	Without SOH	With SOH (3% cap)	Approx. annual tax savings*
2026	$500,000	$500,000	$500,000	—
2031	$650,000	$650,000	~$579,000	~$1,100
2036	$800,000	$800,000	~$671,000	~$2,000
2041	$1,000,000	$1,000,000	~$779,000	~$3,400

*Approximate, at ~16.2 mills, assuming sustained ~5%/year appreciation. Illustrative only.

Long-term Florida owners in appreciating markets accumulate large SOH savings — the reason a neighbor who bought a decade ago can pay a fraction of what a new buyer of the same home pays today.

Portability: take your savings to the next home

When you sell a homesteaded Florida property and buy another, you can port your accumulated SOH benefit — up to $500,000 — to the new home. If your prior home had a $200,000 gap between market and assessed value, you can apply that benefit to your new property's starting assessed value from day one.

File the Portability Application (DR-501T) alongside your new homestead exemption, by March 1 following your purchase, within two years of leaving the prior homestead. For long-time Florida owners trading up or down, portability is one of the most valuable conversations to have before you close — it routinely saves thousands a year.

CDD fees: the "hidden" property tax

Community Development Districts (CDDs) are special-purpose local governments created under Florida Chapter 190. They issue bonds to finance infrastructure in new communities — roads, utilities, drainage, parks, amenities — then repay those bonds through annual assessments on the homes inside the district.

CDD fees are not HOA fees. The CDD covers public infrastructure financed by bonds; the HOA covers private community amenities. You often pay both, and the CDD appears as a separate non-ad-valorem line on your tax bill. Typical Central Florida ranges:

• Horizon West: $1,500–$4,500/year depending on phase vintage
• Lake Nona (Laureate Park, Randal Park): $2,000–$3,500/year
• Baldwin Park: $1,500–$3,000/year
• Celebration: $2,000–$4,000/year (older sections far less)
• ChampionsGate: $1,500–$2,500/year

How long do they last? The bond debt has a finite term — typically 20–30 years. Once the bonds are retired, the fee drops to a minimal maintenance-only assessment, which is why older communities have lower CDD bills than fresh ones. In many cases the bond portion can also be prepaid; on a $3,000/year CDD with 20 years left, the payoff might be $30,000–$40,000 — sometimes worth negotiating into the purchase price. Always ask your agent for the specific CDD schedule and remaining bond term before you fall in love with a floor plan.

The reset that catches new Florida buyers

Here's the part no exemption or amendment fixes, and the single most important thing to understand before you buy.

When a home sells, its assessed value resets to market value — roughly your purchase price — the following January 1. The seller's low, SOH-capped assessment does not transfer to you. So the tax figure on the listing (or on Zillow) is usually the prior owner's bill: a long-time owner might be paying $3,200 on a home that will cost you $6,500 once it's reassessed at what you paid.

Buyers who budget off the listing's number get a genuine "sticker shock" with their first TRIM notice in August. The fix is simple: estimate off your purchase price, not the old bill — about 1.4%–1.6% for a homesteaded primary residence. Every listing on our Central Florida map search shows a payment estimate with a tax line based on price, and our home value tool helps you frame the full carrying cost. For the deep dive, see Florida property tax sticker shock.

What relocating buyers from other states should know

Buyers moving from high-tax states almost always compare property taxes:

• vs. New Jersey: A $600,000 home in NJ can carry $14,000–$18,000/year. The Florida equivalent runs roughly $8,400–$9,600 before any CDD — major savings even before Florida's no-income-tax advantage.
• vs. California: Comparable effective rates, but California's Prop 13 gives long-time owners SOH-like protection. Relocating mid-tenure loses that accumulated benefit; your Florida SOH protection then rebuilds over years.
• vs. Texas: Both are no-income-tax states, but Texas property taxes are notably higher — effective rates of 1.5%–2.5% are common versus Florida's lower long-run rate once SOH compounds.

One timing note for 2026 relocators: if you establish Florida residency after December 31, 2026, the proposed amendment would limit you to the old $50,000-level exemption for five years before you qualify for the larger amount. See our breakdown of the five-year homestead wait for new Florida residents.

The bottom line

• Orlando-area total millage runs roughly 16–19 mills (about 1.6%–1.9% of taxable value), with schools the largest single piece and the city layer driving most of the variation.
• The homestead exemption ($51,411 for 2026, inflation-indexed) plus the Save Our Homes 3% cap and portability are the three levers that matter most over a long hold.
• CDD fees can add $1,500–$4,500/year in master-planned communities and aren't covered by any exemption — always get the specific number.
• New buyers should budget 1.4%–1.6% of purchase price, never the seller's old bill.

Want the exact number for a specific home, community, or relocation timeline? That's the math I run for every client before they go under contract. Browse Central Florida homes on the map to see real tax estimates by listing, or reach out and we'll walk your numbers together — no pitch, no pressure.

Millage and exemption figures reflect Orange County 2025–2026 data from the county Property Appraiser and Florida Department of Revenue, and are approximate — confirm specifics for any exact parcel with your county property appraiser or a tax professional. This is general information, not tax or legal advice.