Published July 9, 2026 · S.G. TrustTeam Market Insight
This November, Florida voters will decide on one of the most consequential property tax measures in recent state history. Amendment 3 — branded "Save Our Homes from Excessive Property Taxes" — heads to a statewide vote on November 3, 2026, and could reshape what homeownership costs look like across South Florida for years to come. As your local market specialists, we want to break down what's actually on the table, what it could mean for your household budget, and what smart buyers and sellers should be watching between now and the election.
The Basics: A Major Expansion of the Homestead Exemption
Backed by Governor Ron DeSantis and passed by the Florida Legislature in early June 2026, Amendment 3 would significantly grow the state's homestead exemption for non-school property taxes. If approved by the required 60% supermajority, the exemption would jump from $50,000 to $150,000 starting in 2027, then rise again to $250,000 by 2028.
For a longtime homeowner in Fort Lauderdale, Boca Raton, or Hollywood, that could translate into real, tangible savings on an annual tax bill. It's a headline-grabbing number, and it's easy to see why it has broad appeal to residents who have watched their tax bills climb alongside rising home values.
The Catch: Local Governments Depend on This Revenue
Property taxes fund roughly three-quarters of local government budgets statewide. Cutting that base that deeply doesn't make the need for services disappear — it just shifts where the money has to come from. According to a Florida House staff analysis, the full $250,000 exemption is projected to remove about $8.4 billion a year from local coffers, with an estimated $5 billion hit in year one alone.
Projected Ripple Effects
- •Service pressure on parks, libraries, waste management, and community programs — even as the amendment attempts to protect core public safety funding.
- •Credit rating risk flagged by S&P Global, which could push borrowing costs higher for cities and counties and make long-term infrastructure more expensive.
- •Uneven impact by community. Smaller, primarily residential municipalities without a large commercial tax base stand to feel the pinch more acutely.
The Wild Card: A Slowing Population Boom
Amendment 3's math leans on an important assumption: that a steady wave of new residents will help backfill the lost revenue. The amendment includes a five-year residency requirement — anyone moving to Florida after December 31, 2026 would be locked into the base $50,000 exemption rather than the expanded one, meaning newcomers would be taxed on the full value of the homes they buy.
The theory is that a continuous influx of new, full-taxpaying residents offsets the savings given to existing homeowners. But Florida's pandemic-era migration surge has cooled considerably, as rising insurance premiums, extreme weather, and overall affordability concerns give some prospective movers pause. If that inflow doesn't stay strong, the revenue cushion the plan is counting on may not fully materialize.
What This Could Mean for the Cost of Living
If local governments face sustained shortfalls, most experts expect the response to come through other channels rather than service cuts alone:
| Who's Affected | What Could Change |
|---|---|
| Renters & first-time buyers | Landlords may pass along higher utility fees and non-ad valorem assessments |
| Local businesses | Cities may lean harder on commercial millage rates, up toward the constitutional cap |
| All residents | Broader local sales tax bases or increased municipal fees are possible offsets |
State leaders, meanwhile, point to Florida's roughly $15.7 billion reserve and the possibility of state-level grant programs as a buffer local governments could draw on without new taxes.
What This Means for South Florida Buyers, Sellers, and Owners
- 1If you're a current homeownerAn expanded homestead exemption is likely a net positive for your annual carrying costs, particularly on primary residences in Broward and Palm Beach counties. Worth factoring into any long-term hold-versus-sell conversation.
- 2If you're relocating to FloridaTiming matters. Establishing residency before the end of 2026 could position you for the expanded exemption sooner, versus locking into the base exemption if you move after that date.
- 3If you're evaluating new construction or investment propertyWatch how municipalities respond over the next 12–18 months. Commercial millage rates and local fee structures could shift as cities adapt.
- 4If you're buying in a smaller residential municipalityThese communities may see more pronounced budget adjustments — worth discussing as part of your due diligence on any property in these areas.
The Bottom Line
Amendment 3 represents a genuine trade-off — meaningful tax relief for existing homeowners, balanced against real questions about how local governments sustain services and infrastructure over time.
With 30+ years serving South Florida, we help clients cut through headlines and make well-timed, confident decisions. We'll continue tracking this story as it develops toward the November vote. If you have questions about how Amendment 3 could affect your specific property, a purchase you're considering, or your overall real estate strategy, our team is here to help.
Frequently Asked Questions
What is Florida Amendment 3?
Amendment 3, branded 'Save Our Homes from Excessive Property Taxes,' is a proposed constitutional amendment on the November 3, 2026 Florida ballot. It would expand the homestead exemption for non-school property taxes from $50,000 to $150,000 in 2027, and to $250,000 by 2028.
When do Floridians vote on Amendment 3?
The statewide vote is on November 3, 2026. To pass, the amendment requires a 60% supermajority of voters.
How much would Amendment 3 save South Florida homeowners?
Savings depend on your local millage rate. For a longtime homesteaded owner in Broward or Palm Beach County, the expanded exemption could translate into thousands of dollars in annual tax savings once fully phased in by 2028.
Would new Florida residents get the expanded exemption?
No. Amendment 3 includes a five-year residency requirement. Anyone establishing Florida residency after December 31, 2026 would be locked into the base $50,000 exemption, meaning newcomers would pay tax on the full value of their homes.
How would Amendment 3 affect local government services?
A Florida House staff analysis projects the full exemption would remove roughly $8.4 billion annually from local budgets, with a $5 billion hit in year one growing toward $12 billion within five years. This could pressure city and county services, credit ratings, and fee structures.
Questions About How Amendment 3 Affects You?
Every property and ownership timeline is different. Whether you're a current homeowner, relocating to Florida, or evaluating an investment purchase, we can walk you through the specifics for your situation.
Disclaimer: This article is for informational purposes only and does not constitute legal, tax, or financial advice. Ballot language, projections, and implementation details are subject to change ahead of and following the November 3, 2026 vote. Please consult a qualified real estate attorney, CPA, or your county property appraiser for advice specific to your situation.