Florida Amendment 3, Explained: A Homeowner Tax Cut That Could Raise Rents
Published November 2, 2026
Florida voters decide Amendment 3 on Tuesday, November 3, 2026. It's billed as a property tax cut — and for homeowners, it is a substantial one. But because renters receive no homestead exemption at all, one analysis argues the measure could shift part of the tax burden onto renters through higher rents. Here is what the amendment actually does, what the research says, and what both sides argue.
What Amendment 3 would do
Amendment 3 is a proposed change to Florida's constitution, placed on the ballot by the state legislature. Like every Florida constitutional amendment, it needs at least 60% of the vote to pass. If it passes, it takes effect January 1, 2027 — it does not change your November 2026 tax bill.
Its main pieces:
A much bigger homestead exemption. The homestead exemption is the slice of your main home's value that cities and counties cannot tax. Today it shields roughly $50,000 of value from non-school property taxes. Amendment 3 would raise that to $150,000 in 2027 and $250,000 in 2028, then adjust it for inflation from 2029. School taxes are not changed.
A tighter cap for rentals and businesses. The assessed value of non-homestead property — rentals, second homes, and commercial buildings — can currently rise up to 10% a year for tax purposes. The amendment lowers that cap to 5%.
A five-year wait for new residents. Anyone who is not a Florida resident by December 31, 2026 would keep the existing, smaller exemption until they have lived in the state for five years.
Spending limits. Counties and cities would have to spend property tax revenue on specified categories, including public safety, infrastructure, and flood control.
The amendment does not eliminate property taxes. School taxes continue, and local governments still set their own tax rates each year.
The renter question
Renters never receive a property tax bill, but they do pay property taxes indirectly — they're built into rent. And renters' homes get no homestead exemption, because a rental is not the landlord's main home.
The concern runs like this: exempting up to $250,000 of every homeowner's value shrinks the pool of property that cities and counties can tax. A September 2026 analysis by tax expert Jared Walczak — commissioned by the Florida Housing Coalition, the Florida Apartment Association, Miami Homes For All, and the Florida Policy Project — estimated non-school property tax collections statewide could fall 20–23%, about $8.7 billion a year by 2029. Local governments would then choose among cutting spending, raising other fees, or raising the tax rate itself.
If governments raised rates to replace the full loss, the analysis estimated:
The average Florida apartment's property tax bill would rise about $406 a year in 2028 (14.8%), and $554 by 2031.
Single-family rentals would be hit harder: about $1,081 more in 2028, rising to $1,471 by 2031. About one in four Florida renters lives in a single-family home.
A typical 200-unit apartment community would owe roughly $81,000 a year in additional tax.
Landlords typically pass at least 60% of a tax increase on to tenants, the analysis notes, and often nearly all of it over time — so a $406 tax increase on an apartment could mean roughly $240 a year in higher rent. More than 1.7 million Florida renter households already spend over 30% of their income on housing.
The case for it
Supporters, including Florida Realtors, argue the amendment makes homeownership more affordable at a time when Florida owners face some of the highest housing costs in the country — and that the savings are real money, every year, for millions of households. The tighter 5% assessment cap also genuinely protects owners of rental and commercial property from sharp tax spikes when values jump, which can help keep rents steadier. And nothing about rents is automatic: whether any burden shifts to renters depends on choices thousands of local governments have not yet made.
What to watch
The vote is November 3, and the 60% threshold is a high bar — measures with majority support have failed in Florida before by falling short of it. If it passes, watch your city and county budget debates in 2027: the millage (tax rate) decisions made there will decide what the amendment ultimately costs renters and saves homeowners.
Thinking about buying in Florida before the December 31 residency deadline matters to you? A local agent can walk you through the timing. Our free AI agent match connects you with Florida agents, and our mortgage calculator helps you see what a home would actually cost month to month.
FAQ
Does Amendment 3 eliminate property taxes in Florida?
No. Property taxes continue, school taxes are unchanged, and local governments still set their own rates. The amendment only increases the homestead exemption for non-school taxes.
When would Amendment 3 take effect?
January 1, 2027, if it passes with at least 60% of the vote on November 3, 2026. It does not affect November 2026 tax bills.
Do renters get anything from Amendment 3?
There is no exemption for renters. Renters could benefit indirectly from the tighter 5% cap on rental-property assessment growth, but analyses warn they could also face higher rents if local governments raise tax rates to replace lost revenue.
I'm moving to Florida. Does timing matter?
Yes. If you are not a Florida resident by December 31, 2026, you would wait five years before receiving the increased homestead exemption.
We covered this story in Ep 60 of Brick by Brick, our real estate news podcast: Brick by Brick on YouTube.