DeSantis Pushes to End Florida Property Taxes, but Homeowners Would Still Pay Some Bills
Florida homeowners could soon receive one of the largest property tax breaks in the state’s history. The promise sounds almost too good to ignore: keep more of your money, reduce the cost of owning a home, and eventually eliminate certain property taxes altogether.
But homeowners should look beyond the headline. The plan backed by Gov. Ron DeSantis would not erase every property tax bill. School district taxes would remain, future Florida residents would face a lengthy waiting period, and local governments could lose billions of dollars used to support everyday services.
Nothing changes immediately, either. Florida voters must first approve the constitutional amendment in November 2026, with at least 60 percent voting in favor. If it passes, the first changes would take effect on January 1, 2027.
What the Property Tax Plan Would Change
The measure, known as Amendment 3, would sharply expand Florida’s homestead exemption. That exemption reduces the assessed value used to calculate taxes on a person’s primary residence.
Under the proposed system, qualifying homeowners would receive a $150,000 exemption from non-school property taxes in 2027. The exemption would rise to $250,000 in 2028 and begin increasing with inflation in 2029.
Consider a homeowner whose property has a taxable assessed value below $250,000 after other adjustments. By 2028, that homeowner could owe little or nothing toward certain county and municipal property taxes.
However, the school district portion would remain on the bill. The amendment applies the expanded exemption only to non-school levies, meaning property owners should not expect their entire tax obligation to disappear.
The proposal goes further than the initial $250,000 exemption. It directs lawmakers to create a process allowing counties and cities to increase the exemption until homesteaded properties become fully exempt from their property taxes.
That sounds like complete elimination, but there is no firm deadline. The amendment does not specify exactly when counties and municipalities would have to reach that point.
The Catch for New Florida Residents
The most controversial provision draws a sharp line based on when a homeowner establishes Florida residency.
People who maintain permanent Florida residency by December 31, 2026, would qualify for the larger exemption. Those who become residents later would initially receive a much smaller $50,000 non-school exemption, adjusted for inflation.
New residents would remain at that lower level for four years. They would become eligible for the larger exemption during the fifth year.
That means two neighbors living in similarly valued homes could receive dramatically different tax treatment. One might qualify for the full expanded exemption because the owner lived in Florida before the deadline. The other could pay considerably more after moving into the state in 2027.
Supporters say the waiting period rewards established residents and directs relief toward people who already call Florida home. Critics may see it as a penalty on newcomers, including families relocating for work, retirees moving later, and first-time buyers who have not yet established residency.
Counties and municipalities could shorten the waiting period with a two-thirds vote if officials determine the change serves a critical local need. Still, homeowners should not assume that every community would offer that exception.
A Huge Tax Cut Creates a Huge Funding Question
Lower property taxes would leave more money in homeowners’ pockets. It would also remove a major source of revenue from counties, cities, and special districts.
Florida’s Revenue Estimating Conference calculated that the amendment’s automatic changes could eventually reduce local non-school property tax revenue by approximately $11.8 billion annually. The projected cash impact grows over time, reaching about $8.7 billion during the 2028 to 2029 fiscal year and roughly $10.7 billion by 2030 to 2031.
That money currently helps local governments operate police and fire departments, maintain roads, manage parks, provide water and sewer services, and fund other community needs.
The amendment restricts remaining county and municipal property tax revenue to selected core areas, including public safety, infrastructure, schools, natural resources, courts, and certain public health services. The unresolved question is what happens when the remaining revenue cannot cover those responsibilities.
Local officials could cut programs, delay projects, reduce staffing, or introduce new fees. Other property owners could also face pressure. Renters, businesses, vacation-home owners, and landlords do not receive the same homestead benefit, although the amendment would reduce the annual assessment growth cap on many non-homestead properties from 10 percent to 5 percent.
Homeowners Have the Final Say
DeSantis has pushed Florida’s property tax debate toward a statewide decision, but he cannot eliminate these taxes alone. The Legislature placed Amendment 3 on the ballot after the House approved it by a 75-to-26 vote and the Senate passed it 30-to-9.
Voters must now decide whether the savings justify the financial risk to local governments. For current homeowners, the proposal could deliver meaningful relief at a time when insurance, repairs, association fees, and other housing expenses continue to squeeze household budgets. For someone with a modestly assessed homestead, the non-school portion of the tax bill could shrink dramatically.
Yet the word “elimination” needs context. School taxes would continue. New residents would wait years for the largest benefit. Local services would still need funding, and taxpayers could eventually encounter the costs through fees, service reductions, or other revenue measures.
The proposal offers Florida homeowners a tempting deal. The real question is not simply how much they could save, but what their communities may have to give up in return.
