Florida Realtors backs property tax amendment on November ballot

Florida Realtors' Board of Directors voted August 23 to support Amendment 3, a proposed constitutional change on the November ballot that would alter the state's property tax system. The measure would increase the homestead property tax exemption, lower the annual assessment cap on non-homestead properties, and make additional changes to how property taxes are calculated across Florida.

The endorsement came at the close of the association's 2026 Convention & Trade Expo governance meetings. If at least 60 percent of voters approve the amendment in November, it would implement what the association describes as "meaningful property tax relief" for both homesteaded and non-homesteaded property owners.

What's on the ballot

Amendment 3 would make several adjustments to Florida's existing property tax framework. The measure would increase the homestead property tax exemption—the portion of a primary residence's assessed value that is not subject to taxation. Currently, Florida homeowners who claim homestead exemption receive up to $50,000 in exemptions: the first $25,000 applies to all property taxes, including school district levies, while an additional $25,000 exemption applies to non-school taxes on assessed values between $50,000 and $75,000.

The amendment would also lower the annual assessment cap on non-homestead properties. Under current Florida law, the assessed value of homesteaded properties cannot increase more than 3 percent annually, regardless of market conditions, under the Save Our Homes constitutional provision. Non-homestead properties—including second homes, investment properties, and commercial real estate—are capped at 10 percent annual assessment increases. Amendment 3 would reduce that cap, though the specific new percentage is not detailed in the announcement.

Florida Realtors issued a statement following the board vote: "Florida Realtors supports Amendment 3 because it offers voters an opportunity to provide meaningful property tax relief while strengthening Florida's commitment to attainable homeownership. Florida Realtors encourages Floridians to learn more about it, and to vote Yes on Amendment 3 this November. "

How property taxes work in Florida

Florida's property tax system is built on assessed values determined by county property appraisers each year. Those values form the basis for tax bills, which are calculated by multiplying the taxable assessed value by the millage rates set by counties, municipalities, school districts, and special districts. One mill equals $1 in tax per $1,000 of taxable value.

The homestead exemption and Save Our Homes protections have been central to Florida property tax policy for decades. Save Our Homes, adopted by voters in 1992 and enshrined in the state constitution, limits annual increases in the assessed value of homesteaded properties to the lesser of 3 percent or the percentage change in the Consumer Price Index. This protection creates a gap—sometimes substantial—between a property's market value and its assessed value, reducing the tax burden on long-term homeowners.

Non-homestead properties do not benefit from the 3 percent cap. Instead, their assessed values can rise up to 10 percent per year under a cap voters approved in 2008. This category includes rental properties, vacation homes, commercial buildings, and any property not claimed as a primary residence. Because non-homestead properties face higher potential annual increases in assessed value, they can see larger year-over-year jumps in tax bills, particularly in fast-appreciating markets.

Florida does not levy a state income tax, making property taxes a primary revenue source for local governments and school districts. Any reduction in taxable assessed value—through higher exemptions or lower caps—shifts the burden of funding public services, either onto other taxpayers or requiring budget adjustments by taxing authorities.

What it means for Northeast Florida homeowners

For homeowners in Duval, St. Johns, Clay, Nassau, and surrounding counties, the amendment could reduce annual property tax bills by increasing the amount of assessed value shielded from taxation. The homestead exemption applies uniformly across Florida, so any increase would benefit primary-residence owners throughout the region.

Northeast Florida has experienced sustained home-price appreciation in recent years, driven by in-migration, relatively affordable housing compared to South Florida, and highly rated school districts in St. Johns and Clay counties. As market values climb, the gap between a home's market value and its Save Our Homes–protected assessed value typically widens for long-term owners, magnifying the benefit of the existing 3 percent cap. A higher homestead exemption would provide additional relief by carving out a larger untaxed portion of the assessed value.

For newer buyers who purchased near current market prices, the benefit of an increased exemption would also apply, though their assessed values start closer to market value and have not yet accrued years of Save Our Homes protection. The amendment could make homeownership more affordable on an ongoing basis for first-time and move-up buyers, a stated goal in Florida Realtors' endorsement statement.

The impact on individual tax bills would vary by property value, local millage rates, and the specifics of the exemption increase. Duval County's 2025 total millage rates—combining county, municipal, and school levies—ranged from roughly 18 to 25 mills depending on location. In St. Johns County, total millage rates ran slightly lower in many areas, while Clay and Nassau counties have their own rate structures. Each mill of taxation on each $1,000 of non-exempt assessed value translates directly to the annual bill, so a larger exemption reduces the taxable base and, therefore, the bill.

Impact on investment and rental properties

Lowering the annual assessment cap for non-homestead properties would directly affect owners of rental homes, apartment buildings, vacation properties, and commercial real estate. In Northeast Florida's rental market, which has absorbed much of the region's population growth, landlords and institutional investors have faced rising assessed values and correspondingly higher tax bills as property values climbed.

A reduced cap would slow the rate at which those assessed values can increase each year, providing more predictable tax expenses for property owners. That predictability matters for real estate investors evaluating long-term cash flows and for small landlords operating on narrow margins. Lower annual increases in property taxes could, in theory, reduce upward pressure on rents, though rental rates are driven by a wider mix of factors including demand, supply of new units, and operating costs beyond property taxes.

Commercial property owners—ranging from retail centers and office parks to industrial warehouses in areas like Cecil Commerce Center and along the I-95 and I-295 corridors—would also see a slower rate of assessment growth. For businesses that own their facilities, property tax predictability is a component of operating-cost planning and site-selection decisions.

The flip side of lower non-homestead caps is the potential revenue impact on local governments and school districts. Non-homestead properties generate a significant share of property tax revenue because they are assessed closer to market value and lack the deep Save Our Homes protections that homesteaded properties enjoy. Reducing the cap on those properties could slow revenue growth for counties, cities, and school boards unless millage rates are adjusted upward or other revenue sources fill the gap.

How this fits into Florida's tax policy debate

Property tax relief has been a recurring theme in Florida policy discussions, particularly as home values have surged statewide. The Legislature has periodically adjusted exemptions, created additional exemptions for specific groups such as teachers and first responders, and debated structural reforms to the property tax system. Constitutional amendments require voter approval and a 60 percent supermajority, setting a high bar for changes.

Amendment 3 would represent the latest in a series of voter-approved adjustments to Florida's property tax framework. Previous amendments have included the 2008 approval of portability—allowing homeowners to transfer up to $500,000 of Save Our Homes benefit to a new homestead—and the 10 percent cap on non-homestead properties, also approved in 2008.

Florida Realtors, the state's largest real estate trade association, represents more than 225,000 members. The organization's endorsement carries weight in real estate and housing policy debates and signals alignment with a broader industry interest in policies that support homeownership affordability and market activity. The association's governance meetings, held in conjunction with its annual convention, typically address policy positions, legislative priorities, and professional standards.

What happens next

Amendment 3 will appear on the November 2026 general election ballot. Florida constitutional amendments require approval by at least 60 percent of voters to pass. Voters across all 67 counties, including Duval, St. Johns, Clay, Nassau, Baker, Putnam, and Flagler, will decide whether to adopt the changes.

The specifics of how much the homestead exemption would increase and the exact new cap percentage for non-homestead properties will be detailed in the ballot language and accompanying financial-impact statements prepared by state agencies. Those documents are made available to voters ahead of the election and provide estimates of the fiscal effects on state and local governments.

Public discussion of the amendment is expected to intensify as the election approaches. Supporters, including Florida Realtors, are likely to emphasize tax relief and affordability. Opposition, if it emerges, may focus on potential impacts to local government budgets, school funding, and the distribution of the tax burden among property types.

Voters seeking to learn more about Amendment 3 can review the ballot language, financial-impact statements, and analyses published by county supervisors of elections, the Florida Division of Elections, and nonpartisan civic organizations. Public forums, candidate debates, and local government meetings in the months ahead may also address the measure.

The outcome will shape property tax policy across Florida for years to come, affecting how homeowners, landlords, and businesses budget for one of the largest recurring costs of property ownership. In a region experiencing the growth pressures of Northeast Florida—rising home prices, new residential development from Nocatee to Wildlight, and an influx of residents drawn by affordability and quality of life—any adjustment to the property tax system will ripple through household budgets, municipal finances, and the broader real estate market.