Florida Amendment 3 Explained: What the Property Tax Vote Means for Buyers and Sellers

On November 3, 2026, Florida voters will decide Amendment 3, a proposed change to how homes and other property are taxed. Because it affects homestead exemptions and investment property, buyers and sellers are asking what it means for them. This is a neutral explainer of what the amendment would do. It is not a recommendation on how to vote.

This is general information, not tax or legal advice. Ask your county property appraiser or a tax professional about your situation.

The Official Ballot Title

The amendment appears on the ballot as "Increased Homestead Exemption; Lower Cap on Increases in Non-Homestead Property Assessments." The ballot title and summary were rewritten in August 2026 after a Leon County circuit judge ruled the original language misleading.

It needs at least 60 percent of the vote to pass. If approved, it takes effect January 1, 2027.

What It Would Change

A larger homestead exemption for non-school taxes

Today the combined exemption is $51,411. The amendment would also have the Legislature set a uniform procedure for counties and cities to increase the exemption further, up to the full assessed value, and would let special districts do the same with voter approval.

The December 31, 2026 residency cutoff

People who are not Florida residents on December 31, 2026 would receive the existing homestead exemption when they qualify. They would become eligible for the increased exemption in their fifth year of exemption, to the extent permitted by the U.S. Constitution.

A lower cap for non-homestead property

The cap on annual assessment increases for non-homestead property, which includes rentals, second homes and commercial property, would drop from 10 percent to 5 percent.

Rules for local government spending

The amendment would also require counties and cities to use property tax revenue for listed purposes, including public safety, schools, infrastructure, natural resources, debt service and employee retirement benefits.

The Fiscal Picture

State economists estimate statewide reductions in property tax revenue of about $4.96 billion in fiscal year 2027-28, rising to about $11.86 billion a year on a recurring basis. Supporters say the amendment gives homeowners and property owners meaningful tax relief. Critics say the lost revenue would pressure local budgets for services. Voters will weigh both.

What It Could Mean for Buyers and Sellers

Buyers planning to live in Florida

Homestead eligibility already depends on owning the home and living in it as your permanent residence on January 1, with the application due March 1. If Amendment 3 passes, being a Florida resident by December 31, 2026 would also determine whether a new resident gets the larger exemption right away or after the fifth year. If you are moving to Florida, ask your tax advisor how the cutoff applies to you.

Current Florida homeowners

If it passes, owners who already have a homestead exemption would see the larger non-school exemption starting in 2027. The Save Our Homes cap on annual assessment increases for homesteads is not changed by this amendment.

Investors and second-home owners

The 5 percent cap would limit how fast the assessed value of a rental or second home can rise each year. The homestead exemption itself does not apply to these properties.

Sellers

The amendment does not change how a sale closes, how property taxes are prorated at closing or the documentary stamp tax on the deed.

What Does Not Change Regardless of the Vote

• Property taxes are still prorated between buyer and seller at closing
• Title insurance premiums and documentary stamp taxes are unchanged
• Homestead applications are still due March 1

After the Election

We will update this article with the result after November 3. If the amendment passes, our homestead exemption guide will be updated for 2027 as well.

Questions about how property taxes appear on your closing statement? Call Title Warehouses of America at (888) 354-8005.