The Florida Tax Change Everyone Is Talking About
Florida's Proposed Homestead Exemption Changes: Why 2026 Could Be One of the Best Times to Buy or Sell
By Scott Swonger, HomeSmart
Florida homeowners may soon see one of the biggest property tax changes in state history. If approved by voters this November, the proposed constitutional amendment would significantly increase Florida's Homestead Exemption, creating substantial long-term savings for qualifying homeowners.
Whether you're thinking about buying your first home, moving up, downsizing, or selling your current property, these proposed changes are creating excitement throughout Florida's real estate market.
What Is Being Proposed?
Florida lawmakers have placed a constitutional amendment on the November 2026 ballot that would increase the Homestead Exemption for owner-occupied primary residences.
If approved by at least 60% of Florida voters, the exemption would increase as follows:
- Current Homestead Exemption: $50,000
- January 1, 2027: Increase to $150,000
- January 1, 2028: Increase to $250,000 (non-school property taxes)
The proposal also includes annual inflation adjustments going forward.
Important Timeline
June 2026
The Florida Legislature approved the constitutional amendment to place it on the statewide ballot.
November 3, 2026
Florida voters will decide whether the amendment becomes law.
A constitutional amendment requires 60% voter approval to pass.
December 31, 2026
This is one of the most important dates for prospective buyers.
Under the proposal, homeowners who establish Florida as their permanent residence by the end of 2026 would qualify immediately for the increased exemption if the amendment passes. Those who establish residency after January 1, 2027, would be subject to additional residency requirements before receiving the higher exemption.
January 1, 2027
If approved by voters:
- Homestead Exemption increases to $150,000
- New property tax rules begin
January 1, 2028
The exemption would increase again to:
$250,000 for qualifying homesteaded properties on non-school taxes.
Why This Matters for Buyers
For many Florida families, lower property taxes can make homeownership more affordable over the long term.
Potential benefits include:
- Lower annual ownership costs
- Greater purchasing power
- More predictable housing expenses
- Increased long-term savings for primary homeowners
Many buyers who were waiting on the sidelines may decide now is the right time to purchase before the residency deadlines take effect.
Why This Matters for Sellers
If you're considering selling your home, this could create additional buyer demand.
Potential buyers may want to:
- Purchase before the end of 2026
- Establish Florida residency
- Position themselves to qualify for the proposed higher exemption if approved
Historically, increased buyer urgency often translates into:
- More showings
- More qualified buyers
- Stronger competition
- Better opportunities for sellers
While no one can guarantee market conditions, proposed tax incentives often encourage more buyers to enter the market.
Frequently Asked Questions
Is this law yet?
No.
It is currently a proposed constitutional amendment that must be approved by Florida voters in November 2026.
Will everyone qualify?
No.
The exemption applies only to qualifying Florida homesteaded primary residences, and the proposal includes residency requirements for new Florida residents beginning in 2027.
Will school taxes disappear?
No.
The proposal primarily affects non-school property taxes. School district taxes would continue to apply.
My Advice
Whether the amendment ultimately passes or not, many buyers are already paying close attention to the possibility of significant future tax savings.
If you've been thinking about:
- Buying your first home
- Moving into your forever home
- Downsizing
- Investing in your next chapter
Now is an excellent time to start planning.
Likewise, sellers may benefit from increased buyer interest as we approach the November election and year-end residency deadline.
Let's Talk About Your Options
Every homeowner's situation is unique. If you're wondering how these proposed tax changes could impact your buying or selling plans, I'd be happy to provide a personalized market analysis and help you understand your options.
Scott Swonger
HomeSmart
Florida's #1 HomeSmart Agent (2025)
Diamond Award Winner | Chairman's Club | President's Club
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