Florida property owners are closely watching a proposed constitutional amendment, known as the "Save Our Homes from Excessive Property Taxes" proposal, which could dramatically alter property tax burdens starting in 2027. If approved by voters in the November 3, 2026 general election, the amendment would increase the homestead exemption for non-school taxes from $50,000 to $150,000 in 2027 and to $250,000 in 2028, with inflation adjustments thereafter. Additionally, the annual assessment cap for many non-homestead properties, including rentals, second homes, and commercial properties, would be lowered from 10% to 5%.
The proposal is split into two parts: CS/HJR 1-F, the constitutional amendment requiring 60% voter approval, and CS/SB 4-F, which has already been enacted and took effect June 24, 2026, altering certain property tax administration rules. The key point is that the expanded exemption and lower cap will not take effect unless voters approve the amendment. If passed, the changes would apply from January 1, 2027.
For homestead owners, the expanded exemption would reduce the non-school portion of property taxes, but school taxes are treated separately and would not receive the expanded exemption. Actual savings depend on assessed value, millage rates, and other factors. For non-homestead properties, a lower assessment cap means assessed values cannot rise as quickly, but this does not automatically translate to lower taxes, as tax bills still depend on millage rates.
A critical aspect is the residency requirement. Those who establish permanent Florida residency by December 31, 2026, and qualify for homestead would receive the full expanded exemption immediately. New residents after that date would initially receive the current exemption and only become eligible for the larger exemption starting in the fifth year of their homestead. This has prompted many to consider relocating to Florida before the end of 2026, but experts caution that residency decisions should be based on more than just property taxes. Establishing Florida residency involves factors such as where you live, family and employment ties, business activities, estate planning, and overall tax strategy.
Property owners should watch for the November 3, 2026 election and understand the difference between what is already law under CS/SB 4-F and what is still proposed under CS/HJR 1-F. The Florida Senate materials provide official details on both bills: CS/HJR 1-F and CS/SB 4-F. The Florida Department of Revenue also offers property tax guidance.
Until voters decide, property owners should treat these changes as potential, not certain. For those considering buying, selling, or restructuring property, it is prudent to incorporate these possibilities into planning but wait for the election outcome before making major moves.
