As the November 2026 election approaches, potential homebuyers and current residents in South Florida are closely watching a significant piece of legislation on the ballot. Known as Amendment 3 (or HJR 1F), this proposed constitutional amendment could fundamentally shift how property taxes are calculated for Florida homeowners.
If you are planning a florida relocation or looking into buying a home in south florida, understanding the nuances of this proposal is essential. The amendment, titled “Save Our Homes from Excessive Property Taxes,” seeks to dramatically increase homestead exemptions, but it also introduces a specific timeframe for new residents that could impact your initial years of homeownership.
What is Amendment 3 (HJR 1F)?
Amendment 3 is a proposed change to the Florida Constitution that aims to provide substantial property tax relief for primary residences. To pass, it requires approval from at least 60% of Florida voters. If successful, the amendment would take effect on January 1, 2027.
The proposal focuses on “non-school” property taxes. These are the levies issued by counties, cities, and special districts to fund local services like public safety, infrastructure, and parks. It is important to note that school district levies, which often make up a significant portion of a property tax bill, are not affected by this specific exemption increase and will remain under the current $25,000 exemption structure.
The Phased Increase for Current Residents
For those who establish Florida residency by December 31, 2026, the benefits of Amendment 3 are designed to phase in quickly. This “line in the sand” makes the remainder of 2026 a pivotal window for those considering south florida real estate.
The proposed schedule for the non-school homestead exemption is as follows:
- 2027: The exemption increases from the current $50,000 to $150,000.
- 2028: The exemption reaches its full amount of $250,000.
- 2029 and beyond: The $250,000 exemption is adjusted annually for inflation to ensure the tax relief keeps pace with the cost of living.
For a homeowner with a property assessed at $300,000, this could mean that by 2028, only $50,000 of their home’s value would be subject to non-school property taxes. In some cases, for homes valued at $250,000 or less, these taxes could be eliminated entirely.
The 5-Year Ramp-Up: A Note for New Residents
One of the most critical aspects for anyone using a moving to florida guide right now is the “residency wall” or ramp-up period for newcomers.
Under the proposed amendment, individuals who establish Florida residency on or after January 1, 2027, will not have immediate access to the full $250,000 exemption. Instead, a five-year waiting period applies:
- Years 1–4: New residents will receive the standard $50,000 non-school exemption.
- Year 5: The exemption “steps up” to the full, inflation-indexed amount (currently projected at $250,000).
This means that if you close on a home in 2027, you must budget for higher property tax payments during your first four years of ownership compared to those who arrived just months earlier. This distinction is vital for a first time homebuyer florida to consider when calculating their monthly mortgage payments and overall carrying costs.
Benefits for Non-Homestead Properties and Investors
Amendment 3 does not only address primary residences. It also includes a provision that could benefit investors and second-home owners. Currently, annual assessment increases for non-homestead properties are capped at 10%. The proposed amendment would lower this cap to 5%.
This reduction is designed to provide more predictability for owners of rental properties and commercial real estate. By limiting how quickly the assessed value of a property can rise, the state aims to mitigate sharp spikes in tax bills that can occur in a rapidly appreciating market like South Florida.
Budgeting for Your Florida Relocation
Navigating these potential changes requires a proactive approach to financial planning. Whether you are moving from out of state or purchasing your first home locally, here is a practical checklist for your 2026–2027 home search:
- Confirm Residency Timelines: If you aim to qualify for the full exemption without the five-year wait, aim to establish permanent residency before December 31, 2026. This often involves obtaining a Florida driver’s license and registering to vote in the state.
- Review Tax Estimators: When looking at specific listings, do not rely solely on the previous owner’s tax bill. Use a property tax estimator and apply the proposed 2027/2028 rules to see how your budget might change over time.
- Understand the “Save Our Homes” Portability: If you are already a Florida resident, remember that you can “port” your existing Save Our Homes tax benefits to a new property. This can provide additional savings on top of the proposed amendment. For more on the logistics of a move, see our relocating to West Palm Beach step-by-step guide.
- Analyze Market Inventory: While the tax breaks are enticing, they may also influence market demand. Monitoring whether the market is overvalued in 2026 can help you decide if now is the right time to buy.
Expert Opinions on the Amendment
Local fiscal analysts suggest that while the amendment offers significant relief to homeowners, it also places constraints on local government spending. The amendment includes language that limits how local governments can spend the revenue generated from property taxes, prioritizing “core services” such as infrastructure and public safety.
“The goal of Amendment 3 is to provide a clear path toward reducing the tax burden on Florida families,” says one local real estate consultant. “However, buyers must be aware of the timeline. Moving in December versus January could result in a difference of thousands of dollars in taxes over a five-year period.”
Strategic Considerations for 2026 Buyers
For those currently in the market, the timing of your purchase and residency establishment is more than just a logistical detail: it is a financial strategy. If the amendment passes, those who act before the end of the year will be “grandfathered” into the immediate exemption increases.
If you are just starting your search, our Palm Beach County 2026 guide can help you identify neighborhoods that fit your lifestyle and financial goals.
Navigating the Future with Elevated Agents
The South Florida real estate landscape is complex, particularly when legislative changes intersect with market trends. At Elevated Agents, we specialize in providing the expert guidance needed to navigate these transitions smoothly. Whether you are navigating the nuances of homestead exemptions or looking for a luxury property that meets your specific needs, our team is here to assist.
We provide comprehensive support for both local residents and long-distance buyers, ensuring that every transaction is handled with professionalism and precision. If you have questions about how Amendment 3 might affect your upcoming purchase or need assistance with your relocation strategy, we invite you to reach out. Our commitment is to provide an elevated experience that prioritizes your long-term financial health and homeownership goals.
Key Takeaways for Homebuyers
- Amendment 3 (HJR 1F) is on the November 2026 ballot.
- 60% approval is required for it to take effect on January 1, 2027.
- $250,000 exemption for non-school taxes would be phased in by 2028 for existing residents.
- 5-year wait for newcomers who establish residency after January 1, 2027.
- Non-homestead cap would lower from 10% to 5% for assessment increases.
Contact Elevated Agents today to discuss your South Florida real estate strategy and ensure you are positioned for success in the 2026–2027 market.
