How Florida’s New Proposed Tax Legislation Could Impact Homeowners

Florida’s real estate market is abuzz with the upcoming vote on HJR 1-F, a proposed property tax amendment that could reshape homeownership across the state. If passed in November 2026, this legislation will bring sweeping changes to the homestead exemption, assessment caps, and local government funding. Here’s a closer look at what’s on the table and what it could mean for you as a Florida homeowner.

What’s Changing?

• Expanded Homestead Exemption: The non-school homestead exemption would jump to $150,000 in 2027 and then to $250,000 in 2028, with future increases tied to inflation. This means a larger portion of your home’s value would be shielded from property taxes, potentially saving you hundreds or even thousands of dollars each year.
• Lower Assessment Caps: For non-homestead properties, the annual cap on assessment increases would be reduced from 10% to 5% starting in 2027. This change could slow the pace at which property taxes rise for investment and vacation properties.
• New Resident Requirements: To qualify for the full exemption, new Florida residents would need to live in the state for five years—a phased-in requirement aimed at ensuring long-term commitment.
• Funding Constraints: Local governments would face stricter rules on how they use property tax revenue, focusing spending on essentials like public safety and infrastructure.

How Much Could You Save?

Let’s break down the savings: If the non-school exemption increases to $250,000, and your property tax rate is 1.1%, that’s up to $2,750 in annual tax savings compared to the current $50,000 exemption (which equals $550 in savings). That’s a difference of $2,200 per year for many homeowners—money that could go toward home improvements, savings, or family expenses.

Who Will Feel the Impact?

• Long-term Homeowners: Stand to benefit the most from the expanded exemption and stable assessment caps.
• New Residents: Will need to plan for the five-year residency requirement before qualifying for the full exemption.
• Owners of Investment or Vacation Properties: Will see slower tax increases, but won’t benefit from the expanded homestead exemption.

What Should Homeowners Do?

• Stay informed as the election approaches and review how the changes could affect your tax bill.
• Consult with a tax professional to understand your eligibility and potential savings.
• Monitor local government services, as funding constraints may impact amenities and infrastructure projects.

The Bottom Line

The proposed amendment could mean significant tax relief for many Florida homeowners, but it also brings new rules and potential shifts in local services. By staying engaged and informed, you can make the most of these changes—and cast your vote with confidence in November 2026.