What Homeowners Need to Know About Amendment 3 Before Voting in November

Your Vote Matters! Florida homeowners could see significant changes to their property tax bills beginning in 2027

Housing affordability is an important and ever present conversation in our state. While home prices and mortgage interest rates often receive the most attention, property taxes are another major component of the monthly cost of homeownership.

This November, Florida voters will consider Amendment 3, a proposed constitutional amendment that would substantially expand the homestead exemption for eligible Florida residents.

Here’s a real-life example:

$500,000 home in Duval County with 10% down

The PITI (principal, interest, taxes, insurance) each month is $4,231 under the current homesteaded tax guidelines. $625 of that is taxes each month.

If Amendment 3 passes, that tax amount will be reduced by approximately $230/month ($2,760/year).

What would Amendment 3 change?

Under the proposal, the homestead exemption for non-school property taxes would increase to $150,000 in 2027 and $250,000 in 2028. Beginning in 2029, that exemption would be adjusted for inflation.

For homeowners who qualify, the result could be meaningful annual savings.

School property taxes would remain in place, and actual savings would vary depending on the property's assessed value and local tax rates.

What about rental properties and second homes?

Amendment 3 also proposes reducing the annual cap on assessment increases for non-homesteaded properties from 10% to 5%.

That provision could benefit owners of rental properties, second homes, and certain commercial properties by limiting future increases in assessed value.

However, it does not guarantee lower property tax bills for those properties.

Could this improve housing affordability?

Lower property taxes can reduce the ongoing cost of owning a primary residence. For some homeowners, that could make their monthly housing expenses more manageable.

The broader housing market effects are less certain. Home prices, mortgage rates, insurance premiums, inventory, and local government decisions will continue to influence affordability.

What are the concerns?

Property taxes fund important local services. State economists estimate that the proposed changes could reduce recurring local government revenues by approximately $12 billion annually.

Local governments may need to adjust spending, increase other taxes or fees where permitted, or identify alternative funding sources.

How those decisions unfold would matter to homeowners, renters, and businesses alike. Not entirely clear currently, but I expect out-of-state buyers, investment buyers, and second home buyers to be levied a fee at closing and increased tax rates in turn.

What This Could Mean for Jacksonville Real Estate

Florida has seen strong investor activity in recent years, particularly in growing metro areas and rental-heavy neighborhoods. If institutional buyers are limited going forward, some local markets could see:

• Less buyer competition in certain price ranges

• A shift toward more owner-occupied homes

• New opportunities for buyers who previously felt priced out

What Happens Next?

Florida voters will decide Amendment 3 on November 3, 2026. The proposal requires at least 60% approval to pass.

I'll continue to follow the proposal and sharing information about how it could affect local homeowners, buyers, sellers, and investors.

Understanding the details is an important part of making informed decisions about real estate and our communities.

Sources: Florida Department of State, Florida Revenue Estimating Conference, Florida Policy Institute, and Florida Chamber of Commerce.