Florida's homestead Amendment 3 passed. What does it mean if you're buying?

One of the questions we've been getting most this fall: "How will Florida's homestead property tax amendment affect me, and should I wait to buy until it's settled?" As of November 3, 2026, part of it is settled. Voters approved Amendment 3. Here's what it does, who it helps, and what it means for your timing.

What does Amendment 3 do?

A constitutional amendment in Florida needs 60% voter approval. Amendment 3 passed with about 62%. It takes effect January 1, 2027, and the first tax bills that reflect it go out in November 2027. Here's what changes:

• A bigger homestead exemption on non-school property taxes: up to $150,000 starting in 2027 and up to $250,000 starting in 2028, with inflation adjustments starting in 2029. Today it's about $50,000.
• School taxes don't change. The school portion of the homestead exemption stays at $25,000, so most homeowners will still get a tax bill that includes school taxes.
• Save Our Homes stays the same. The cap that limits how much a homestead's assessed value can rise each year (3% or inflation, whichever is lower) and portability are unchanged.
• Non-homestead properties get a lower cap. For second homes, rentals and other non-homestead property, the annual cap on increases in assessed value drops from 10% to 5% for non-school taxes.
• Some costs aren't touched. Non-ad valorem assessments, like solid waste, stormwater and CDD fees, aren't affected and can still go up.

The amendment also directs the Legislature to work toward eventually eliminating non-school property taxes on homesteads. That's a goal for future lawmakers, not something that happens automatically.

Who benefits, and who doesn't?

The larger exemption only applies to homestead property, meaning the home that's your permanent, primary residence with a homestead exemption on file. If you already have homestead, you don't need to file anything new.

Second homes and investment properties are non-homestead, so they don't get the bigger exemption. They do benefit from the lower 5% cap on assessment increases over time.

New Florida residents have a waiting period. This is the part that matters most for our relocating clients. According to St. Johns County and county property appraisers:

• If you're a permanent Florida resident as of December 31, 2026, you're eligible for the larger exemption starting in 2027, once you have homestead on your home.
• If you become a Florida resident on or after January 1, 2027, you start with the regular exemption of up to $50,000 on non-school taxes. You become eligible for the larger exemption in your fifth year, after keeping a Florida homestead exemption for four years.

If you're already planning to move to Florida, the timing of when you become a permanent resident may matter more than when you close on a house. Residency is shown by steps like getting a Florida driver license, registering to vote and registering your vehicles here, and filing a declaration of domicile. Every situation is different, so talk with a tax professional or attorney about your timing.

Should you wait to buy until everything is settled?

Our advice: no. The vote is done, and trying to time taxes or the market rarely beats buying the right home when you're ready. A few reasons:

• Waiting doesn't get you a bigger exemption. For new residents, the clock is based on residency and years of homestead, not on when you buy.
• Taxes are only one piece. Your monthly cost also depends on the price, mortgage rate, insurance, HOA dues and CDD fees. A small tax savings can be wiped out by paying more for the house or a higher rate later.
• Local budgets will adjust. St. Johns County estimates the change will reduce its property tax revenue starting in 2028, growing over the following years. How the county, cities and other taxing authorities respond, through millage rates, fees or services, is still to be decided in their public budget processes.

Budget on today's tax estimate and treat any savings as a bonus. That way the home works for you no matter how the details play out.

How we help

When we compare homes with you, we put the estimated taxes, insurance, HOA dues and CDD fees side by side so you see the true monthly cost. Our post on what it really costs to live in St. Augustine covers homestead basics and deadlines. Thinking about a move? Start with our Homebuyer Journey.

Sources

• St. Johns County: Proposed Property Tax Amendment 3
• Volusia County Property Appraiser: Amendment 3
• Hillsborough County Tax Collector: What Amendment 3 Means for Your Property Taxes
• Bay News 9: Florida voters approve Amendment 3