Florida voters will soon decide on a sweeping ballot amendment that could reshape the state’s property tax system.
Much has been made of the threats looming over local government budgets. But how would Amendment 3 play out on your tax bill?
The Tampa Bay Times mocked up a rough estimate of the tax savings four hypothetical homeowners across Tampa Bay could see if voters approve the referendum. Some live in bigger homes, some more modest. Some have owned for years, while others settled in more recently.
And some stand to gain more than others.
Amendment 3 would raise the homestead exemption, which rewards Floridians who live in the homes they own by cutting their taxes. The proposal, approved by the Republican-led Legislature, is intended to make homeownership more affordable amid soaring prices.
If approved by 60% of voters next month, the measure would triple the current roughly $50,000 exemption on primary residences next year and raise it to $250,000 in 2028, among other changes. Resident homeowners would still pay property taxes toward schools.
For months, local leaders have cautioned that the amendment could trigger government budget cuts, reduce services like park maintenance and youth programming, and necessitate more fees. State economists have projected that cities and counties could lose nearly $12 billion annually by 2031, and rural communities could be particularly hard-hit.
Individual homeowners, meanwhile, could save thousands on their property tax bills.
But because a range of information is used to calculate your bill — including where you live, the assessed value of your home and how long you have claimed a homestead exemption — savings will vary.
First-time homeowners and people who own lower-value homes could see the largest share of their tax bills cut.
The Tampa Bay Times used local property tax rates and assessed home values to calculate what these savings might look like. We imagined four homeowners — one in Tampa, one in St. Petersburg, one in unincorporated Hillsborough County and one in unincorporated Pinellas. The analysis does not seek to show the exact value of a homeowner’s bill, because local governments haven’t yet set tax rates for the coming years. But it gives a broad look at how Amendment 3 might be felt at home.
Here’s what we found.
Tampa transplant in mid-value home
Taylor, a first-time homebuyer, moved her family to Tampa during the coronavirus pandemic in 2022. The city’s real estate market was booming.
The assessed value of Taylor’s home — the value the government uses to calculate her tax bill — is $350,000. That’s distinct from market value or the estimated price the home could sell for. In Florida, a homesteaded property’s assessed value can fluctuate each year, but it cannot increase by more than 3% annually under the state’s Save Our Homes property tax cap.
For this analysis, the Times assumed the assessed value of Taylor’s home has remained static since she bought it. We also assumed that Tampa and other local governments will not raise property tax rates in response to Amendment 3.
Under Florida’s current roughly $50,000 homestead exemption, Taylor’s home is taxed as though it is worth $300,000. Since 2022, her annual tax bill has floated between roughly $5,800 and $6,100. That’s calculated using the combined tax rates — or millages — of the city and county. It includes property taxes that pay for schools, which are not included in Amendment 3.
Under the proposed amendment, Taylor’s home would be valued at $200,000 next year for the purpose of calculating her tax bill. By 2028, that taxable value would fall to $100,000.
Her non-school tax bill would be more than halved, a roughly $3,000 savings by 2028.
While Taylor sees steep cuts, the city of Tampa says it could lose tens of millions in revenue. About 63% of the city’s residential properties are homesteaded, according to Hillsborough County’s property appraiser’s office, which doesn’t include vacant properties.
Tampa is projected to lose up to $40 million in the 2028 fiscal year if voters approve the initiative, and more than $60 million the following year, according to Chief Financial Officer Dennis Rogero. That means less money for city services, Mayor Jane Castor said this month, from public safety to stormwater systems to parks.
As a result, Tampa may cut some services and impose new or increased fees for others. At a budget presentation in July, Castor listed initiatives that could be vulnerable: affordable housing, youth programming, parks and homeless services, among others.
Longtime unincorporated Hillsborough homeowner
Hidalgo has lived in his unincorporated Hillsborough County home since 2015. Its assessed value — the amount on which Hidalgo pays taxes — is $250,000.
With a decade in his house, Hidalgo has benefited from Florida’s Save Our Homes cap, which limits increases to assessed home values. That’s because his home’s market value has grown faster than 3%, creating a gap between what it is worth and what he pays taxes on. As market value goes up, so does Hidalgo’s tax shield.
Under Florida’s current homestead exemption, Hidalgo’s home is taxed as though it is worth $200,000. As a result, he pays more than $2,300 annually for the part of his property tax bill that pays for public safety, parks and other public services. He has paid another more than $1,400 annually toward schools.
Under Amendment 3, his home’s taxable value would fall to $100,000 in 2027. The following year, it would drop to zero, meaning he would contribute no taxes for policing, firefighting or parks. He would still pay about $1,400 for schools.
Hillsborough Property Appraiser Bob Henriquez said about 72% of residential properties in the unincorporated county are homesteaded, excluding vacant properties. That means Amendment 3 could bring significant savings to a range of county residents — and significant lost revenue for county services.
A June report from Hillsborough staff found that the county could lose up to $367 million annually by 2028, triggering potential budget cuts, hiring or pay freezes and new or increased fees. County services for kids, parks, pets and aging residents could be cut or reduced, the report said.
Higher-value Pinellas beach homestead
Patrick has been a Florida homeowner for decades, bouncing between residences across the state. A decade ago, he moved into his dream house near the beach in unincorporated Pinellas, where he claimed a homestead exemption.
With years claiming a homestead exemption, Patrick has built up a significant tax shelter under the Save Our Homes law. Each time he moves to a new primary residence in Florida, his savings travel with him under a provision called “portability.” That’s unlike most other states, where homestead savings reset when a homeowner moves.
With an assessed value of $750,000, Patrick’s Pinellas property is taxed at a significantly lower value than what it could sell for. Under Amendment 3, he would see an additional cut to his tax bill. But he wouldn’t see as large a portion of his bill cut as the other homeowners included in the Times’ analysis.
About 66% of residential properties in Pinellas are homesteaded, according to the county’s property tax appraiser’s office. And should voters pass the referendum, Pinellas County leaders have cautioned that nothing is off the table.
The county could see a more than 24% reduction in general fund dollars — or a roughly $164 million drop to the pool that pays for many operating costs — by 2030 if the amendment passes, according to an analysis from the county’s property appraiser. That’s because the total taxable value in Pinellas is projected to fall by roughly $36 billion by then.
Tax dollars that pay for libraries, health services and the county’s transit authority are also projected to see steep drops. The Sheriff’s Office could face cuts, too, County Administrator Barry Burton previously told the Times.
Pinellas cities, including Clearwater, could also face steep reductions in revenue. Clearwater could have to close a gap of more than $20 million for its first two budget seasons if the amendment passes, according to an August memo. The city could cut 140 full-time employees, the memo said, and permanently close its Beach Library.
Newer St. Petersburg property owner
Selena bought a St. Petersburg home in 2022, pulled by the same boom that brought Taylor to the region.
Because she is a first-time homebuyer, Selena doesn’t have a large gap between the value her home is taxed at and what she paid for it. Under Florida’s current homestead exemption, her home is taxed as though it is worth roughly $400,000.
Selena currently pays around $8,000 annually in property taxes, including money that pays for schools. By 2028, her non-school tax bill under Amendment 3 would be nearly halved.
St. Petersburg officials have said Amendment 3 could mean personnel cuts to parks, police and fire. The city is also weighing imposing a special fee for all property owners to help pay for fire services if the amendment passes.
The city could lose $35 million in 2027, Mayor Ken Welch said at an October candidate forum, and another $50 million the next year.
Landlords, renters and non-residents
Much of the focus on Amendment 3 has centered on homeowners living in their homes who would likely see the greatest benefit. But Florida is home to renters, landlords and business owners, too. What would the referendum mean for them?
People who own properties that are not their primary residences — landlords, for example, or vacation home owners — will see a lower limit on how much their assessed values can increase each year. Amendment 3 proposes reducing the cap from the current 10% to 5%. Same with commercial and office buildings.
Advocates of the amendment say the initiative could also push renters toward homeownership.
But landlords and other property owners could face higher costs if local governments choose to impose fees or raise tax rates to replace lost revenue. Landlords could pass those costs on to renters, resulting in higher rents.
The amendment also says that people who become Florida residents on or after Jan. 1, 2027, won’t see an increase in their property tax exemption until their fifth year of residency. That year, they would receive the full $250,000 exemption, adjusted for inflation using the Consumer Price Index.
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Tampa Bay Times Election Coverage
- 2026 midterms voter guide: Get information on candidates in Tampa Bay and across Florida
- A property tax proposal and more: All 3 Florida amendments on the ballot, explained
- Governor candidate stances: Clashing ideas of David Jolly and Byron Donalds put Florida at crossroads
- 3 reasons: Here’s why David Jolly could win the governor’s race, and here’s why Byron Donalds could
- Florida polling averages: governor and Senate
- Redistricting: A snapshot of each of Tampa Bay’s new congressional districts
- St. Pete mayor’s race: 5 takeaways from the primary results
- On St. Petersburg ballots: A breakdown of referenda and charter amendments coming before city voters
