Lower Assessment Cap for Non-Homestead Properties

The yearly assessment cap on non-homestead property drops from 10% to 5%.

This means a rental property's assessed value can only climb 5% for county, city, and special district taxes instead of 10%. Over several years, that gap compounds into a real difference in the tax bill.

Annual Inflation Adjustments Beginning in 2029

The $250,000 exemption is not frozen. Starting in 2029, it gets bumped up each year by the Consumer Price Index (CPI), the same way the current additional homestead exemption has been indexed since 2025. That is why it is $26,411 this year instead of a flat $25,000.

At roughly 3% inflation, $250,000 becomes about $257,500 in 2029, then around $265,000 in 2030, and so on. The Florida Department of Revenue will certify the new figure each year, similar to the increased loan amounts for conforming loan limits that adjust annually.

The exemption keeps pace with home values. The relief rises in value over time rather than remaining unchanged as the old $50,000 did for decades.

It only matters for homes assessed above the exemption. A homestead assessed at $200,000 already pays zero non-school tax at $250,000, so indexing does not change anything for that owner. The homeowner who benefits is the one at $350,000 or $500,000, whose exempt slice keeps growing.

Homesteaded Homeowners

The first $150,000 in 2027 and then $250,000 in 2028 of assessed value is exempt from county, city, and special district taxes. Today that exemption is $51,411. School taxes keep the current $25,000 exemption.

Rentals, Commercial Properties, and Second Homes

Yearly assessment increases for non-school taxes are capped at 5% instead of 10%.

New Florida Residents

New residents on or after January 1, 2027, start with the current exemption and receive the larger one in their fifth year of homestead. Anyone who is a Florida resident by December 31, 2026, gets the full benefit when they qualify.

Homeowners will see the changes reflected in their property tax notices and bills according to the following timeline.

The following resources can help homeowners and loan originators understand Amendment 3 and estimate potential property tax savings.

Every county property appraiser site also lets you confirm whether a property already has homestead and file for it online. Most of these pages were written before the vote and will be updated once implementation of legislation is finalized.