Florida Amendment 3 Passed: What It Means for Your Homestead Exemption

by Enrique Urdaneta

Florida Amendment 3 Passed: What It Means for Your Homestead Exemption

Short answer: Florida voters approved Amendment 3 on November 3, 2026. Starting January 1, 2027, the homestead exemption for non-school property taxes rises to $150,000, then to $250,000 in 2028. School taxes do not change, people who were not Florida residents by December 31, 2026 wait five years for the full benefit, and the yearly cap on non-homestead assessments drops from 10% to 5%.

I have had this question from almost every homeowner and buyer I spoke with this week. So let's walk through it calmly. What changed, what did not, and what you should do now. This is education, not tax advice. Your county property appraiser and your CPA have the final word on your situation.

Mixed-use building with palm trees in Boca Raton, Florida, where the homestead exemption applies to primary residences — Photo: Alexander Donev / Unsplash

What Amendment 3 Is

Amendment 3 is a change to the Florida Constitution. The Legislature passed it in a June 2026 special session as House Joint Resolution 1F. Its ballot title was "Save Our Homes From Excessive Property Taxes."

Constitutional amendments in Florida need at least 60% of the vote. Amendment 3 received about 62%, based on unofficial results with nearly all precincts reporting. The two other amendments on the ballot failed.

The amendment takes effect on January 1, 2027. That date matters, because Florida property is assessed based on its status on January 1 of each year.

The New Homestead Exemption, Year by Year

Until now, a homesteaded property in Florida could receive up to $50,000 in exemptions. The first $25,000 applied to all property taxes, including school taxes. A second $25,000 applied to non-school taxes on assessed value between $50,000 and $75,000.

Amendment 3 changes the non-school part. School district taxes stay with the $25,000 exemption.

Tax year	School district taxes	Non-school taxes (county, city, special districts)
2026 (current)	$25,000	Up to $50,000
2027	$25,000	$150,000
2028	$25,000	$250,000
2029 and later	$25,000	$250,000, adjusted for inflation when inflation is positive

These amounts apply to your primary residence only. A second home, a rental, or an investment property does not qualify for homestead.

A simple way to picture it

Think of your tax bill as two parts. One part goes to the school district. The other part goes to the county, your city, and special districts. Amendment 3 does not touch the first part. It shrinks the taxable value used for the second part.

How much you save depends on your local millage rates and your assessed value. Your Notice of Proposed Property Taxes (the TRIM notice) each August will show the real numbers for your property. I would not estimate a dollar figure until the property appraiser publishes how the new exemption will be applied.

The Five-Year Rule for New Florida Residents

This is the part buyers relocating to Florida need to understand before they make an offer.

According to the enrolled resolution, a person who had not maintained a permanent residence in Florida as of December 31, 2026 does not receive the full new exemption right away. For those owners:

School district taxes: $25,000 exemption.
Non-school taxes: $50,000 exemption at first.
Beginning with the fifth year of exemption: the full non-school amount ($250,000, as adjusted).

The text also allows a county or city, by a two-thirds vote of its governing body, to reduce the five-year requirement for a "critical local need," starting January 1, 2030.

If you are moving from New York, Chicago, or abroad and plan to buy in 2027 or later, build this into your budget. Your property taxes in the first years may look different from the taxes your neighbor pays on a similar home. That is not a mistake on the bill. It is how the amendment was written.

Palm-lined street of single-family homes in Florida, homestead exemption 2027 — Photo: FilterGrade / Unsplash

The 5% Cap on Non-Homestead Property

Owners of second homes, rentals, and commercial property were not left out. Before 2027, the assessed value of non-homestead property could rise up to 10% per year for non-school taxes. Starting January 1, 2027, that cap drops to 5%.

This applies to non-homestead residential property of nine units or fewer and to other non-homestead real property. It does not apply to school district taxes. And like before, the cap resets when ownership or control changes, so a buyer does not inherit the seller's capped value.

For investors, this matters when you underwrite a hold. A slower assessment climb helps cash flow. But the reset at purchase still applies, so always estimate taxes on your purchase price, not on the seller's current bill.

What Did Not Change

Some things stay the same. Based on my reading of the enrolled text and the House staff analysis:

Save Our Homes cap. The annual limit on assessment increases for homesteads stays at 3% or the change in CPI, whichever is lower.
Portability. The ability to transfer your Save Our Homes benefit to a new Florida homestead, up to $500,000, was not changed by this amendment.
School taxes. The school portion of your bill keeps the $25,000 exemption.
Filing. You still apply for homestead with your county property appraiser. The deadline is March 1.

What It Means for Local Budgets

The House staff analysis estimated a recurring reduction in local non-school property tax revenue of about $4.95 billion in fiscal year 2027-28, about $8.78 billion in 2028-29, and about $11.86 billion per year after that.

The amendment also says county and city property tax revenue may be used only for listed core needs. These include public safety, education, infrastructure, natural resources and flood control, related debt, employee retirement obligations, and government operations.

How cities respond is still unfolding. Some may adjust millage rates. Some may adjust services. Watch your city's budget hearings in 2027. They affect your total cost of ownership as much as the exemption does.

What Homeowners Should Do Now

Confirm your homestead is in place. Look up your parcel on the Palm Beach County Property Appraiser or Miami-Dade Property Appraiser site.
If you bought in 2026, file by March 1, 2027. You must own and live in the home as your permanent residence on January 1.
If you are thinking about selling, remember portability. Your Save Our Homes benefit can move with you to your next Florida homestead if you file in time.
Talk to your CPA about how the change fits your full tax picture.

What Buyers Should Do Now

Know your residency date. Whether you were a Florida resident on December 31, 2026 now affects your exemption for years.
Estimate taxes on the purchase price. Assessed value resets after a sale. The seller's bill is not your bill.
Separate school and non-school millage when you estimate. The new exemption only reduces the non-school part.
Read the TRIM notice on any home you are serious about. It shows the taxing authorities and their rates.

If you are comparing areas, my Boca Raton communities guide, Delray Beach guide, and Miami communities guide are good places to start. Each city has different millage rates, and those differences matter more now.

Downtown Boca Raton street with palm trees, Florida property tax changes under Amendment 3 — Photo: Valeriia Neganova / Unsplash

Frequently Asked Questions

When does Florida Amendment 3 take effect?

January 1, 2027. The non-school homestead exemption becomes $150,000 for 2027 and $250,000 for 2028.

Does Amendment 3 lower my school property taxes?

No. School district taxes keep the existing $25,000 homestead exemption.

I am moving to Florida in 2027. Do I get the full exemption?

Not at first. If you did not have a permanent Florida residence as of December 31, 2026, you receive $25,000 for school taxes and $50,000 for non-school taxes. The full non-school amount begins with your fifth year of exemption.

Does Amendment 3 apply to my rental or second home?

No homestead exemption applies to those. But the annual cap on non-school assessment increases for non-homestead property drops from 10% to 5% starting in 2027.

Did Save Our Homes or portability change?

No. The 3% or CPI cap on homestead assessments and the portability benefit up to $500,000 were not changed by Amendment 3.

Do I need to reapply for homestead?

The text does not require existing homesteads to reapply. Check with your county property appraiser for any new forms or steps as they implement the change.

Homes for Sale in Boca Raton

If you are planning a purchase in 2027, it helps to see real listings with real tax histories. You can browse active MLS listings by community or run a live search across the city.

Explore Boca Raton Communities Search Homes in Boca Raton

Leer en español: Enmienda 3 en Florida: qué cambia en tu exención homestead

Have Questions?

If you want to understand how this affects a home you own or one you are considering, send me a message. I am happy to walk through it with you or show you a property in person. Message me on WhatsApp.

This article is for general education. It is not legal or tax advice. Rules may be clarified by the Legislature and county property appraisers as Amendment 3 is implemented. Consult a qualified tax professional or attorney about your situation.