Florida Property Taxes Are Changing: What the 2026 Ballot Amendment Means for South Florida Homeowners

Florida property taxes could look very different by January 2027, and if you own or are buying property anywhere in South Florida, this is worth understanding before November, especially in the Boca Raton market.

What Florida Voters Are Being Asked to Approve

On November 3, voters will decide on HJR 1F, a proposed constitutional amendment that would raise the homestead exemption from $50,000 to $150,000 in 2027, then to $250,000 in 2028, with inflation adjustments applied from there.

The bill also cuts the annual assessment cap on non-homestead properties from 10% to 5% starting in 2027. That covers investment properties and rentals. School levies are excluded from both changes, per an amendment added during the June 1 committee hearing.

Before it reaches voters, the measure needs a 3/5 vote in the legislature and 60% voter approval. The projected revenue reduction for local governments is $8 billion in year one, climbing to $14 billion by 2028-29. Those are large numbers, and they matter for what comes next.

In plain terms: homeowners pay less, the savings increase over time, and local governments work through how to absorb the difference.

A Few More Details Worth Knowing

Beyond the headline numbers, there are a few additional provisions in the legislation:

Spending restrictions: County and city property tax revenue would be restricted to specific uses: public safety, education, infrastructure, natural resources, bonds and debt, employee retirement, and county operations

Both chambers: The bill is moving through the House and Senate. HJR 1F has a Senate companion bill (SJR 2-F) and HB 3F has a Senate companion (SB 4-F)

Fiscal breakdown: The projected revenue loss splits between $3.4B in school revenue and $4.6B in non-school revenue in year one, widening to $5.6B and $8.4B respectively in year two

If You’re Buying a Primary Residence

The homestead exemption lowers the assessed value of a primary residence for tax purposes. Tripling it to $250,000 reduces annual tax bills considerably for Florida homeowners. On a $2M home in Boca Raton, that’s a real number, not a rounding error.

One thing to flag for buyers coming from out of state: anyone establishing Florida residency after December 31, 2026 starts with the $50,000 exemption for five years before qualifying for the full amount. If you’re weighing whether to close before or after year-end, that phase-in is worth running the math on with your accountant.

If You Own Investment Property

The lower non-homestead cap limits how quickly taxable value on rentals and investment properties can rise each year. For investors holding in Palm Beach County over a longer horizon, that slows down one of the less predictable carrying costs.

Timing Your Florida Move? December 31, 2026 Is the Date That Matters.

The timing of your move matters more than most people realize. Anyone establishing Florida residency after December 31, 2026 starts with the $50,000 exemption for five years before qualifying for the full amount. That’s a meaningful difference in a high-value home, and it’s worth factoring into your decision before you set a closing date.

If you’re weighing where to put down roots, Boca Raton, Delray Beach, and Palm Beach each offer a distinct lifestyle at different price points across the county. If you’re ready to start the conversation, here’s where to begin.

What’s Still Uncertain

The amendment still needs the legislative vote and 60% from Florida voters. Neither is guaranteed. And the fiscal reduction is large enough that local governments will have to make real budget decisions. In communities where services, infrastructure, and public safety are part of what makes an area desirable, that’s a conversation worth following.

I’m not predicting how it plays out politically. What I do think is that even the proposal getting this far signals where Florida’s tax policy is heading, and that’s worth knowing if you’re deciding when to buy.

What This Looks Like Right Now in Boca Raton

Buyers I’m talking to across South Florida are already factoring lower carrying costs into their five-year math, and Boca Raton is no exception. A reduced annual tax bill changes affordability calculations, especially at the price points we work in here. For sellers, anything that makes ownership cheaper supports demand over time. The final vote is in November, but if you’re already looking at homes in Boca Raton, this is one more reason the timing conversation is worth having now.

I’m Alex Mendel with Keller Williams Realty, helping buyers and sellers throughout Delray Beach, Boca Raton, and Palm Beach County with a focus on lifestyle, location, and long-term value. If you’d like to talk through options or have questions about the area, you can reach me directly at 561-827-8449.

Frequently Asked Questions

What is HJR 1F?

HJR 1F is a proposed Florida constitutional amendment titled “Save Our Homes from Excessive Property Taxes,” sponsored by Rep. Overdorf. It would increase the homestead exemption and reduce the assessment cap on non-homestead properties. It requires a 3/5 legislative vote to reach the November ballot and 60% voter approval to pass.

What is the current Florida homestead exemption and what would it change to?

The current homestead exemption is $50,000. If HJR 1F passes, it increases to $150,000 on January 1, 2027, then to $250,000 on January 1, 2028, with inflation indexing applied beginning January 1, 2029.

Do school taxes change under this amendment?

No. School district levies are excluded from the increased exemption. The school levy exemption stays at $25,000. The higher exemption applies only to non-school levies.

When does the new exemption take effect?

January 1, 2027, if the amendment passes the legislature and receives 60% voter approval on November 3, 2026.

I’m moving to Florida after December 31, 2026. Does the full exemption apply to me?

Not immediately. New Florida residents who establish residency after December 31, 2026 start with the $50,000 exemption for five years before qualifying for the full amount.

What changes for investment and rental property owners? The annual assessment cap on non-homestead properties drops from 10% to 5% starting in 2027. School levies are excluded from this change as well.

What is the millage rate change under HB 3F?

A companion bill, HB 3F, removes the per-capita income adjustment from the millage rate cap and sets the rollback rate as the new baseline. Raising taxes up to 110% of the rollback rate requires a 2/3 vote by the governing body. Going above 110% requires either a unanimous vote or a public referendum.

How will I know what my estimated savings would be? Under HB 3F, the Florida Department of Revenue is required to launch a state website within 10 days of the bill becoming law that lets taxpayers calculate estimated savings as if the amendment were already in effect for the 2025 tax year. Property appraisers are also required to include a notice about the amendment with August 2026 TRIM notices.

Is this the largest property tax reduction in Florida history? If voters approve it, yes. It has been described as the biggest proposed property tax reduction in Florida history.

What does this mean for local government services? The estimated revenue reduction for local governments is over $8 billion in fiscal year 2027-28 and over $14 billion in 2028-29. Local governments will need to make budget decisions within those constraints. The original bill included a legislative trust fund to help with implementation, though that provision was removed by amendment in the June 1 committee hearing.