By Wesley Owen, Florida broker · November 3, 2026 · 7 min read

Florida Amendment 3 Passed: Homestead Exemption Guide for Agents

Florida voters approved Amendment 3 with about 62% of the vote. Here's what changes, who qualifies, what homeowners could save at different home values, and how to explain it to buyers and sellers.

Florida voters approved Amendment 3 on November 3, 2026. The Tampa Bay Times reported it passed with about 62% of the vote, and constitutional amendments here need at least 60%. These are election-night numbers until the state certifies them. For most homeowners who live in their Florida home, this is the largest property tax break in years. It also brings new rules that will come up in your listing appointments and buyer consultations starting now.

Here's what the amendment does, who gets the bigger exemption, what the savings look like, and how to talk about it without overpromising.

What Amendment 3 changes

The ballot title, rewritten in August after a Leon County judge found the original language misleading, is "Increased Homestead Exemption; Lower Cap on Increases in Non-Homestead Property Assessments." Based on the revised ballot summary and analyses from the Florida Association of Counties, Florida TaxWatch and the Pinellas County Property Appraiser, the main provisions are:

• A much larger homestead exemption for non-school taxes. It goes to $150,000 starting January 1, 2027 and to $250,000 starting January 1, 2028. Today's exemption is $51,411 for 2026: a $25,000 exemption that applies to all taxes, plus a second, inflation-indexed exemption that applies only to non-school taxes.
• School taxes are unchanged. The $25,000 exemption against school millage stays where it is.
• Inflation indexing. According to the Florida Association of Counties, the $250,000 exemption starts rising with the CPI on January 1, 2029. The $50,000 exemption for new residents starts rising on January 1, 2028. Increases happen only when CPI goes up.
• A waiting period for new residents. Anyone who isn't a Florida resident on December 31, 2026 gets the existing exemption when they qualify for homestead. The larger exemption starts in their fifth year of exemption, "to the extent permitted by the US Constitution," in the ballot summary's words.
• A lower cap for non-homestead property. The annual cap on assessment increases for second homes, rentals and commercial property drops from 10% to 5% for non-school levies.
• Limits on how property taxes can be spent. Counties and cities must use property tax money for listed purposes: public safety, schools, infrastructure, natural resources, debt service, employee retirement, and operations.
• A path to bigger exemptions. The Legislature must set up a uniform procedure that lets local governments raise the exemption further, as far as the entire assessed value.

The amendment does not change Save Our Homes. Homestead assessments are still capped at 3% a year or CPI, whichever is lower. It also leaves portability alone (up to $500,000 of benefit can still move to a new homestead) and keeps the existing exemptions for seniors, veterans, widows and widowers, and people with disabilities.

Key dates

Planning note: under Florida's existing rules, homestead depends on owning and living in the home as of January 1, and you apply by March 1. The 2027 TRIM notices (mailed in August) will be the first to show the $150,000 exemption.

Who qualifies for the larger exemption

• Current homesteaded owners get $150,000 in 2027 and $250,000 in 2028.
• Florida residents as of Dec 31, 2026 who haven't bought yet will get the larger amounts once they buy and qualify for homestead, according to the Pinellas County Property Appraiser.
• People who become residents on or after Jan 1, 2027 get the $50,000 exemption first. The larger one starts January 1 of their fifth year with a homestead exemption.
• Second homes, rentals and commercial property get no homestead exemption. They do get the slower 5% cap growth.

Still unclear: We don't yet know exactly how property appraisers will document residency as of December 31, 2026, or whether the waiting period for new residents will face legal challenges. The ballot language itself flags the U.S. Constitution. Watch for implementing legislation and guidance from your county property appraiser.

Worked examples: estimated savings

These examples compare a long-time homeowner's non-school taxable value under today's $51,411 exemption with the new $150,000 and $250,000 exemptions. Savings equal the drop in taxable value multiplied by the non-school millage rate. The calculation uses assessed value, not market value.

Rates: Florida TaxWatch puts the statewide average non-school rate at 10.50 mills ($10.50 per $1,000 of taxable value). For a higher-rate example, we used about 12.45 mills, which is the rate implied by TaxWatch's Palm Coast estimate of $1,227 in 2027. Actual rates vary by city, county and special district.

The savings stop growing at the exemption amount, so a $600,000 homestead saves the same as a $250,000 one. Real bills also depend on school taxes (unchanged), non-ad valorem assessments such as solid waste or CDD fees (unchanged), and whatever millage rates local governments set. Those governments lose revenue under this amendment, and nobody knows yet how they'll respond.

Local estimates from Florida TaxWatch and appraisers

The TaxWatch figures assume a home assessed high enough to use the full exemption. Suncoast Searchlight reported average savings of about $700 a year in Sarasota County and about $1,200 in Manatee by 2028. Statewide, TaxWatch estimates local property taxes will fall by $4.9 billion in the first year.

What it means for first-time buyers

• Residency timing matters most. A buyer who already lives in Florida and buys a first home can get the larger exemption once they qualify for homestead. Out-of-state buyers arriving in 2027 or later should budget for four years with the $50,000 exemption.
• Lower carrying costs. In some areas, $1,000 to $2,500 a year less in taxes means a lower monthly escrow payment. Ask lenders how they'll estimate taxes for 2027 and 2028 closings.
• File for homestead. Buyers who close in 2026 need to own and live in the home by January 1, 2027 and apply by March 1 to get the exemption for 2027.

What it means for sellers

• The buyer's taxes won't match the seller's. After a sale, the assessment resets to market value, and Florida's required property tax disclosure already warns buyers not to rely on the seller's bill. Under Amendment 3, the buyer's exemption also depends on their residency history.
• Moving up within Florida looks better than before. Portability still applies, and the seller keeps the larger exemption on the next homestead.
• Investors and second-home sellers don't get the exemption. The 5% cap does slow how fast their assessments can rise.

How to talk about it with clients

1. Lead with the facts: "Starting in 2027, the exemption on non-school taxes rises to $150,000, then $250,000 in 2028, for people who qualify."
2. Ask about residency first. Find out where the buyer lived on December 31, 2026. That answer changes their tax estimate.
3. Don't quote a tax bill. Send clients to the county property appraiser's tax estimator, and put estimates in writing as estimates.
4. Be clear about school taxes and fees. Exemptions don't touch non-ad valorem assessments or the school portion of the bill.
5. Update your MLS remarks and scripts. Avoid lines like "no property taxes." The amendment cuts taxes but doesn't eliminate them.
6. Follow the rule changes. Implementing legislation, appraiser guidance and any lawsuits could change the details.

Checklist for this week

• [ ] Bookmark your county property appraiser's Amendment 3 page and tax estimator
• [ ] Add a residency question to your buyer intake form
• [ ] Remind clients closing in late 2026 about the January 1 occupancy rule and the March 1 filing deadline
• [ ] Note in listing files that the seller's taxes don't predict the buyer's
• [ ] Talk to your broker about approved wording for marketing

Keeping each client's residency date and homestead deadlines in the transaction file makes these conversations easier. A transaction management tool like Parcel can track them alongside contract dates.

This article is general education, not legal or tax advice. Results are unofficial until certified, and implementation details may change. Confirm specifics with your broker, a Florida real estate attorney, a CPA or your county property appraiser.

This article is general information, not legal, tax or financial advice. Confirm the details with your broker, attorney or CPA.