Florida Amendment 3 Could Reduce Property Taxes for Millions of Homeowners — But There’s a Catch

Florida voters are heading to the polls November 3 to decide whether to approve Amendment 3, a proposed constitutional change that could significantly reduce property taxes for millions of homeowners.

The measure, which Florida lawmakers advanced during a June 2 special legislative session, would expand the homestead exemption for non-school property taxes. If approved, it could provide substantial tax relief to eligible homeowners, helping them keep more cash in their wallets, but it would not eliminate all property taxes.

Here's what homeowners should know before voting.

What Amendment 3 would change

If approved, the plan would dramatically expand Florida's homestead exemption for primary residences. The exemption would increase from $50,000 to $150,000 in 2027, and then to $250,000 in 2028. In following years, it would adjust for inflation.

At the $250,000 level, state officials estimate that roughly 60% of Florida homeowners could owe no non-school property taxes on their primary residences.

That distinction is important, though. The expanded exemption applies to non-school property taxes, meaning homeowners would still be responsible for school property taxes. So while some homeowners could see their non-school property tax obligations fall to zero, the amendment would not eliminate their entire property tax bill.

Florida has also experienced substantial growth in property tax collections, increasing from approximately $32 billion in 2019 to nearly $60 billion in recent years. For homeowners facing higher assessments and rising housing costs, the proposed exemption could provide meaningful relief.

New Florida residents may have to wait

Amendment 3 would also establish different eligibility rules for people who become Florida residents after December 31, 2026.

Those who are not Florida residents on that date would initially receive the existing homestead exemption when they qualify. The increased exemption would begin with their fifth year of receiving a homestead exemption, to the extent permitted by the U.S. Constitution.

That means people considering a move to Florida should not assume they would immediately qualify for the expanded tax benefit.

Governor Ron DeSantis has previously explained that the waiting period is intended to discourage people from relocating to Florida solely to take advantage of the proposed tax savings.

The distinction could matter for prospective retirees and people planning to establish a primary residence in the state after the end of 2026.

How property taxes work in Florida

Property taxes provide an important funding source for local governments. Revenue supports services such as public safety, infrastructure, parks, and other community programs.

If Amendment 3 passes, expanded exemptions could reduce the property tax revenue some local governments collect.

That has raised concerns among officials about how municipalities and counties would make up potential budget shortfalls.

For example, estimates cited by NBC6 indicate that Coral Springs could see its property tax revenue decline by approximately $14.5 million in 2028 and $26.8 million by 2029.

Local governments could face difficult budget decisions if property tax collections decline. Depending on how those governments respond, residents could see changes to services, spending priorities, or other local revenue sources.

The potential financial impact would vary by community.

Who would benefit from Amendment 3?

The proposed expansion primarily targets Florida homeowners who qualify for the homestead exemption on their primary residences.

Homeowners with lower property values could potentially see their non-school property tax obligations eliminated under the expanded exemption.

However, the proposal would not benefit everyone equally.

• Primary homeowners: Could receive the expanded exemption on non-school property taxes if they meet the eligibility requirements
• New Florida residents: Those who were not Florida residents on December 31, 2026, would generally have to wait until their fifth year of qualifying for the homestead exemption to receive the increased amount
• Second-home owners: Would not receive the expanded homestead exemption on properties that do not qualify as primary residences
• Rental property owners: Would not receive the expanded homestead exemption on non-homestead rental properties, although the lower assessment cap could apply

For eligible homeowners, the potential savings could be substantial. However, the actual benefit would depend on the property's assessed value, applicable exemptions, and local tax rates.

Why Amendment 3 is on the November ballot

The push to expand or eliminate property taxes comes as housing costs have surged across Florida. Rising home values have driven up property tax bills, pressuring homeowners, even those who have owned their homes for years.

At the same time, the state has seen rapid population growth, increasing demand for housing and public services. The proposal reflects an effort to address affordability concerns, but it also raises questions about long-term funding for local governments.

The wider impact on the housing market

If the measure passes, it could influence the housing market in several ways. Lower property taxes could make homeownership more attractive, potentially boosting demand and pushing prices higher in some areas.

At the same time, the waiting period for new residents could limit the immediate impact on migration patterns. Shifting tax structures could also affect local budgets, which in turn could influence everything from school funding to infrastructure investment.

The final hurdle is a 60% vote

Amendment 3 needs at least 60% voter approval to pass. That's a high bar, meaning the outcome is far from certain. A recent Telemundo 51/NBC6 poll found that 55% of surveyed Florida voters supported the measure, putting its reported support below the threshold required for passage.

Until then, the current property tax system remains in place, and no changes have been enacted.

What this means for your finances

Potential savings could be significant for homeowners, but only if the measure is approved and implemented as planned.

At the same time, it's important to consider the bigger picture. Changes to one type of tax often lead to adjustments elsewhere, and the overall financial impact will depend on how local governments respond.

Bottom line

Florida's Amendment 3 could deliver meaningful property tax relief to eligible homeowners, but describing it as a complete elimination of property taxes would be misleading.

The expanded homestead exemption applies to non-school property taxes, meaning homeowners would still pay school taxes. Eligibility restrictions and the potential impact on local government revenue also make the proposal more complicated than its headline promise might suggest.

While the change could help some Florida homeowners save money on bills, it is not final. The measure still needs 60% voter approval on November 3, so it may be worth holding off on any financial decisions until the outcome is clear.

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