Florida Property Tax Relief in 2026: What Home Buyers and Sellers Need to Know

Amendment 3 passed (November 2026): Florida voters approved Amendment 3 on November 3, 2026 with about 62% of the vote (unofficial results; 60% was required). It takes effect January 1, 2027. This post has been updated to reflect the result; for a section-by-section walk through the amendment, see Florida Amendment 3 Passed: What the New Property Tax Law Changes.

If you're buying, selling, or moving to Florida, property taxes just became the biggest real estate story of the year. You've probably seen the headlines about "eliminating property taxes." Here's what actually happened, what it means for your next move in Central Florida, and the one property-tax trap that catches almost every new buyer.

On June 2, 2026, the Florida Legislature passed HJR 1F, originally titled the "Save Our Homes from Excessive Property Taxes" amendment. The Senate approved it 30–9 and the House 75–26. It went to voters on the November 3, 2026 ballot as Amendment 3, and they approved it with about 62% of the vote.

Update (September 2026): On August 3, 2026, a Leon County circuit judge ruled the Legislature's ballot title and summary misleading, and in mid-August the Attorney General substituted neutral language. Amendment 3 stayed on the ballot under the new title "Increased Homestead Exemption; Lower Cap on Increases in Non-Homestead Property Assessments." The substance described below did not change.

What this means for your bill: Amendment 3 is now part of the Florida Constitution, effective January 1, 2027. Nothing below changes your 2026 tax bill. The changes start with the 2027 tax year, on bills mailed in November 2027.

What voters approved

HJR 1F bundles several changes. Here are the ones that matter to a homeowner:

1. A much bigger homestead exemption — on non-school taxes. The exemption that shields part of your home's value from taxation rises from $51,411 (2026, inflation-indexed) to:

• $150,000 in 2027
• $250,000 in 2028
• Indexed to inflation starting in 2029

This applies to your non-school taxes (county, city, and most special districts). It replaces the current exemption for those levies rather than stacking on top of it.

2. School taxes stay exactly where they are. This is the fine print that changes everything. The amendment does not touch school property taxes — those keep the existing $25,000 exemption. In most Central Florida counties, the school portion is the single largest piece of your tax bill, which is why "$250,000 exemption" does not mean "your taxes are gone."

3. A tighter cap on non-homestead assessments. For property that isn't your primary residence — vacation homes, rentals, apartments, commercial and agricultural land — the annual cap on assessed-value increases drops from 10% to 5%, beginning January 1, 2027. That's a real win for second-home buyers and investors (more on that below).

4. A five-year wait for new Florida residents. Anyone who establishes Florida residency after December 31, 2026 receives only the current (roughly $50,000, inflation-indexed) exemption until the fifth year of their homestead exemption, when the larger $150,000/$250,000 amount begins. If you're relocating, this is the provision to circle.

5. Spending guardrails. The measure directs local governments to use remaining property tax revenue for core functions — public safety, schools, infrastructure, and natural resources.

Why your bill won't drop as much as the headline

Because the school exemption stays at $25,000, the savings come only off the non-school slice of your bill. Here's a representative Central Florida example. (These millage rates are illustrative — split roughly into 4.0 non-school mills and 6.5 school mills. Your actual rates are on your TRIM notice and your county property appraiser's site; check them before relying on any number.)

Homesteaded home assessed at $450,000:

Year	Non-school tax	School tax	Total	Savings vs. today
Today (2026) — $50k exemption	~$1,600	~$2,763	~$4,363	—
2027 — $150k exemption	~$1,200	~$2,763	~$3,963	~$400/yr
2028 — $250k exemption	~$800	~$2,763	~$3,563	~$800/yr

So a $450,000 home saves on the order of $400–$800 a year — meaningful, but not the elimination the headlines imply, because the ~$2,760 school portion never moves.

The math flips for lower-priced homes. A home assessed around $250,000–$300,000 could see its entire non-school tax wiped out once the $250,000 exemption kicks in — those owners will pay only school taxes. That's the basis for the much-debated claim that a majority of Florida homeowners will owe little to nothing on the non-school portion. The benefit is largest at the lower end and shrinks, in percentage terms, as home values rise.

The property tax trap that catches new Florida buyers

Here's the part no amendment fixes — and the single most important thing to understand before you buy a home in Florida.

When a home sells, its assessed value resets to market value. The low, Save-Our-Homes-capped assessment the current owner built up over years does not transfer to you. The county reassesses the property at roughly your purchase price on the January 1 after closing — so your tax bill is based on what you paid, not on what the seller was paying.

That's why the tax figure you see on a listing (or on Zillow) can be dangerously misleading: it's 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 your purchase price. Buyers who budget off the listing's number get a genuine "sticker shock" with their first TRIM notice in August.

How to estimate your real bill: ignore the listed taxes. A newly purchased, homesteaded primary residence in Central Florida runs roughly 1.4%–1.6% of your purchase price in year one — higher than the ~1% county average you'll see quoted, because as a new buyer you're assessed at close to what you paid (long-time owners drag that average down). Every listing on our Central Florida map search shows a payment estimate with a tax line based on price, not the old bill, so you can pressure-test affordability before you write an offer. For the deep dive, see Florida property tax sticker shock and our full Florida property tax guide.

The good news: once you're in and homesteaded, the Save Our Homes 3% cap starts protecting you — and under Amendment 3, your non-school exemption climbs too.

Moving to Florida in 2026? The five-year homestead wait

This is the provision most likely to surprise people, and it hits MaxLife's relocation buyers directly.

If you move to Florida after December 31, 2026, you don't get the expanded exemption right away. Until the fifth year of your homestead exemption, you're limited to the existing (roughly $50,000) exemption. Your next-door neighbor who's been homesteaded since 2025 could be getting a $250,000 exemption while you're still at $50,000.

It doesn't change the case for moving here — Florida still has no state income tax, and the Save Our Homes cap (below) still protects you. But if you're timing a move, establishing residency by December 31, 2026, now less than two months away, matters — see our full breakdown of the five-year homestead wait for new Florida residents, and our Florida Homestead Exemption guide for the March 1 deadline.

If you own (or want) a rental or second home

The often-overlooked winner here is non-homestead property. Dropping the assessment cap from 10% to 5% means the taxable value of your vacation rental, long-term rental, or commercial property can grow only half as fast each year. In a market that's appreciated the way Central Florida has, that compounds into real money over a holding period — and it makes Florida investment property a little more predictable to underwrite.

If you're modeling returns on a short-term or long-term rental, that slower assessment growth belongs in your projections. For the full commercial and investment-property breakdown — with a worked multi-year example — see the commercial property tax cap.

What it means for the market — and for sellers

Tax relief that lowers carrying costs tends to support affordability and demand, especially at the entry and mid-price tiers where the exemption does the most. With the amendment passed, expect it to be a talking point in buyer conversations through 2027.

But the dollar amounts only begin phasing in for the 2027 and 2028 tax years, and local governments can still adjust millage rates. For sellers pricing a home now, this is a tailwind — price on today's comps, not on a guess about what it adds.

What hasn't changed — relief you can use right now

Amendment 3 builds on the relief already on the books, and you should still use all of it:

• The homestead exemption (up to $51,411 for 2026) — file with your county property appraiser by March 1 for your primary residence.
• Save Our Homes — once homesteaded, your assessed value can rise no more than 3% (or CPI, whichever is lower — 2.7% for 2026) per year, even as market value climbs. This cap is not part of HJR 1F and stays in place. Over time it's often worth far more than the exemption itself.
• Portability — moving within Florida? You can carry up to $500,000 of your accumulated Save Our Homes benefit to your next homestead.

For the full mechanics — millage, CDDs, county-by-county rates — see our Florida Property Taxes Explained guide and our breakdown of property taxes in Orange County.

The other side of the debate

This isn't a free lunch, and it's worth understanding the criticism now that it's law.

A House staff analysis estimated the change will reduce revenue to non-school local governments by roughly $4.6 billion in the first year, growing to $8.4 billion annually; the state's Revenue Estimating Conference later put the recurring impact at roughly $12 billion a year once fully phased in. Opponents — including the Florida Policy Institute — warn that the lost revenue becomes a "cost shift," potentially pressuring local services or pushing other taxes and fees upward. The nonpartisan Tax Foundation has similarly cautioned that leaning away from property taxes can force heavier reliance on less efficient revenue sources like high local sales taxes. Supporters counter that it returns money to families and forces local governments to prioritize core spending.

Reasonable people land in different places. Watch your county and city budget hearings in summer 2027 to see how your local governments respond.

Your 2026 property-tax game plan

Here's what to actually do now, depending on where you sit:

If you're buying a home in Central Florida:

• Estimate taxes off your purchase price (~1.4%–1.6%), never the seller's old bill.
• File your homestead exemption by March 1 after closing — it starts your Save Our Homes cap clock.
• If a community has CDD fees, add them to your carrying-cost math before you write the offer.

If you're selling in 2026:

• Treat the relief as a tailwind for affordability and demand, not a number to bank on in your pricing.
• Expect buyers to ask about taxes — have the real reassessed figure ready, not your current capped bill.

If you're moving to Florida:

• Establishing residency by December 31, 2026 matters — miss it, and you wait until your fifth year of exemption for the bigger amount.
• Run the relocation math before you set a move date.

If you own (or want) a rental or second home:

• The non-homestead cap dropping 10% → 5% in 2027 makes Florida investment property more predictable — fold the slower assessed-value growth into your underwriting.

The bottom line

• Voters approved Amendment 3 (HJR 1F) on November 3, 2026 with about 62% (60% needed). It takes effect January 1, 2027.
• It raises the non-school homestead exemption to $150,000 (2027) and $250,000 (2028) — but school taxes are untouched, so the savings are partial, and largest for lower-priced homes.
• Relocating buyers face a five-year wait for the bigger exemption if they move here after 2026.
• Investors and second-home owners get a better non-homestead assessment cap (10% → 5%).
• Meanwhile, today's relief — the homestead exemption, the 3% Save Our Homes cap, and portability — is available right now and shouldn't be left on the table.

Thinking about how this affects a specific purchase, sale, or relocation timeline? That's exactly the kind of math we run for clients. Browse Central Florida homes on the map to see real tax estimates by listing, read our moving-to-Orlando guide if you're relocating, or reach out and we'll walk your numbers — no pitch, no pressure.

Figures and provisions are current as of November 4, 2026, based on the enrolled HJR 1F, the Florida Division of Elections' amendment text, unofficial election results (pending state certification), and reporting from the Tax Foundation and Ballotpedia. This is general information, not tax or legal advice — confirm specifics with your county property appraiser or a tax professional.