On November 3, 2026, Florida voters approved Amendment 3. It is one of the biggest changes to the Florida homestead exemption in decades. For many homeowners, it will greatly reduce the non-school portion of their property tax bill.
The most important point is the one many people miss: you do not have to buy a home in Florida by December 31, 2026. You need to become a Florida resident by that date. If you have been thinking about moving to Sarasota or anywhere in Florida, the timing of your move now matters more than ever.
I'm Jill Thomas, a Sarasota Realtor with Berkshire Hathaway HomeServices Florida Realty. This guide explains what Amendment 3 changes, what it doesn't change, and what to do if you want to lock in the bigger homestead savings.
Residency by December 31, 2026 is what counts, not a purchase
Under Amendment 3, anyone who becomes a permanent Florida resident on or before December 31, 2026 is grandfathered in. This is true even if you don't own real estate yet.
When you buy your primary home in a later year, you qualify for the expanded homestead exemption as soon as you apply for and receive standard Florida homestead status. There is no 5-year waiting period.
People who move to Florida after December 31, 2026 get the standard homestead exemption at first. They must then hold qualifying homestead status for 5 years before they can get the higher exemption amounts. Starting in 2030, county and city commissions can vote by a two-thirds majority to shorten this wait if there is a critical local need.
How to prove Florida residency
Build clear evidence of Florida residency before the end of 2026, for example:
- Getting a Florida driver's license or state ID
- Registering your vehicle in Florida
- Registering to vote in Florida
- Filing a Declaration of Domicile with your county clerk of court
The new Florida homestead exemption amounts: 2027, 2028 and beyond
The expanded homestead exemption applies only to non-school property taxes: county, city and special taxing district levies. It is phased in like this:
Year | Non-school homestead exemption |
Today | $50,000 |
2027 | $150,000 |
2028 | $250,000 |
2029 and beyond | $250,000, adjusted each year for inflation |
For example, starting in 2028 a homesteaded primary home assessed at $250,000 or less would owe $0 in county, city and special district property taxes. School taxes and flat fees would still apply (see below).
What changes under Amendment 3
- A much larger homestead exemption on county, city and special district property taxes: $150,000 in 2027 and $250,000 in 2028, then adjusted for inflation.
- A lower assessment cap on non-homestead properties. Starting January 1, 2027, the yearly cap on assessment increases drops from 10% to 5%. This covers rental properties, second homes, vacation homes and commercial real estate. It limits how fast their taxable assessed values can rise each year. That's good news for investors and second-home owners.
- A residency cutoff for new arrivals. People who become Florida residents after December 31, 2026 face a 5-year wait before they can get the higher exemption amounts.
- Rules for how local property-tax money is spent. Counties and cities must focus property-tax revenue on set categories: public safety (law enforcement, fire rescue and EMS), education, roads and stormwater infrastructure, natural resource and flood control projects, bond debt and public employee retirement obligations.
What does not change
- School property taxes. The $25,000 homestead exemption for school district taxes stays the same. On a home assessed at $250,000, $225,000 is still taxable for schools at your local school millage rate.
- Flat fees on your tax bill (non-ad valorem assessments). The homestead exemption only reduces taxes based on value. You still pay flat per-parcel charges such as solid waste and recycling, stormwater and drainage, fire rescue assessments, Community Development District (CDD) fees and Municipal Service Benefit Unit (MSBU) charges.
- You still have to apply. The expanded exemption isn't automatic. You must apply for and receive homestead status on your primary residence through your county property appraiser.
- New residents still get a homestead exemption. People who move here after 2026 still receive the standard homestead exemption right away. Only the higher amounts are delayed.
Frequently asked questions about Florida Amendment 3
Do I have to buy a house in Florida by December 31, 2026 to get the bigger homestead exemption?
No. You only need to establish permanent Florida residency by December 31, 2026. You can buy your primary home later and still qualify for the expanded exemption with no 5-year wait.
What is the Florida homestead exemption in 2027?
The homestead exemption on non-school property taxes rises to $150,000 in 2027 and to $250,000 in 2028. The school tax exemption stays at $25,000.
What is the 5-year waiting period for the Florida homestead exemption?
People who become Florida residents after December 31, 2026 must hold homestead status for 5 years before they can get the higher exemption amounts. Until then, they receive the standard exemption.
How do I prove Florida residency?
Common proof includes a Florida driver's license or ID, Florida vehicle registration, Florida voter registration and a Declaration of Domicile filed with your county clerk of court.
Does Amendment 3 affect rental properties and second homes?
Yes. Starting January 1, 2027, the yearly cap on assessment increases for non-homestead properties drops from 10% to 5%. This covers rentals, second and vacation homes and commercial property.
Will I pay $0 property tax if my home is assessed at $250,000 or less?
Not entirely. Starting in 2028, you would owe $0 in county, city and special district property taxes. You would still owe school taxes and flat fees such as trash, stormwater and fire rescue.
Ready to make Florida home before the deadline? Let's talk.
If you've been dreaming of moving to Florida, now is the time. Becoming a Florida resident by December 31, 2026 can save you money on property taxes for years to come. You can then buy your home on your own timeline.
I help buyers relocating to Sarasota and the surrounding area plan a move that fits their goals. That can mean finding a rental now and buying later, or finding the right home today.
Call me at 941.544.1160 or visit www.JillWillSell.com to get started.
Jill Thomas Berkshire Hathaway HomeServices Florida Realty 941.544.1160 | www.JillWillSell.com
This article is for general information only and is not tax or legal advice. Confirm your situation with your county property appraiser or a tax professional. Official amendment text is available from the Florida Department of State.
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