One of the Most Powerful Benefits of Calling Florida Home. Understand the tax advantages, the Save Our Homes cap, and proposed future changes.
The Foundation
Buying a primary residence in Florida comes with more than sunshine and no state individual income tax. Florida homeowners may also qualify for valuable property-tax protections.
If you own a Florida property and make it your permanent residence, you may qualify for a Homestead Exemption that reduces the assessed value used to calculate your property taxes. But the immediate tax exemption is only part of the benefit.
Once your property qualifies for Homestead, Florida's Save Our Homes assessment cap generally limits annual increases in your property's assessed value to the lesser of 3% per year or the change in the Consumer Price Index.
This can become extremely valuable in a rising real estate market. Your home's market value may increase substantially while its assessed value for property-tax purposes grows much more slowly. Over many years, the difference between those two values can become significant.
One of the biggest mistakes a Florida homebuyer can make is assuming the seller's current property-tax bill will become their property-tax bill. It won't necessarily.
A longtime owner may have accumulated years of Save Our Homes protection, resulting in an assessed value substantially below the home's current market value. When that property is sold, its assessed value is generally reset based on the applicable Florida assessment rules. That means a buyer's future property taxes can be significantly higher than the taxes shown on the seller's current tax bill.
"When evaluating a home, don't simply look at what the current owner pays in property taxes. Estimate what YOU may pay after purchasing it. This is particularly important when calculating your true monthly housing expense."
Florida homeowners may also be able to transfer, or "port," some of their accumulated Save Our Homes benefit from one Florida homestead to another, subject to Florida's eligibility requirements and limitations.
For homeowners who have owned their Florida residence for many years, this benefit can be substantial. Your Homestead Exemption itself does not automatically transfer when you move. You must apply for Homestead on your new qualifying residence and properly apply for portability.
The Process
Don't miss the strict March 1st deadline.
Hold Title
Steven’s appraisal background helps buyers evaluate value, comparable sales, and the factors that may influence how a property is viewed by a lender or the broader market.
Florida Resident
You will need your Florida Driver's License (or ID card), Florida vehicle registration, and your Palm Beach County Voter ID card (if applicable).
Primary Home
Applications must be filed online, by mail, or in person with the Palm Beach County Property Appraiser on or before March 1st.
No Other Claims
Applications must be filed online, by mail, or in person with the Palm Beach County Property Appraiser on or before March 1st.
Legislative Briefing
Florida voters are scheduled to consider Constitutional Amendment 3 during the November 2026 General Election. If approved, the amendment would substantially increase Florida's Homestead Exemption for property taxes other than school district levies.
The exemption for applicable non-school property taxes would increase to
The exemption for applicable non-school property taxes would increase to
The exemption would be automatically
The proposal would also reduce the annual assessment-growth cap on certain non-homestead properties from 10% to 5%. Additional provisions affect local government taxation, new Florida residents, and the ability of local governments to increase homestead exemptions further.
These changes are not currently law. They are subject to voter approval in the November 2026 election. Until any amendment becomes effective, homeowners and buyers should rely on current Florida Homestead laws when making financial decisions. If approved, the amendment is scheduled to take effect January 1, 2027.
READY TO BUY?
At Tolliver Prince Realty, we believe real estate professionals should do more than help you find a home or place a property in the MLS. We want our clients to understand the financial decisions surrounding homeownership. Experience changes everything.
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