Florida Amendment 3: A Tampa Bay Property-Tax Proposal to Watch

Florida voters are considering a change that could matter to many Tampa Bay households: Amendment 3, listed as ballot No. 3. The proposal would reshape parts of the property-tax system for homesteaded primary residences and for properties that do not qualify for homestead status.

This is not current law. The measure needs support from at least 60% of voters to pass, and recent polling described its outcome as uncertain. If voters approve it, the amendment would take effect on January 1, 2027. For anyone planning to buy, sell, or keep property in Tampa Bay, the key is to understand what the proposal says—and what it does not promise.

The Proposed Change for Primary Homes

For a qualifying Florida homestead, Amendment 3 would raise the exemption used for non-school property taxes to $150,000 in 2027 and $250,000 in 2028. Beginning in 2029, that higher exemption would be adjusted for inflation.

“Non-school” is an important phrase. The change would apply to the property taxes levied by local governments and special districts, but it would not change school property taxes. Florida TaxWatch says school taxes represent about 40% of the average property-tax bill. In other words, a homeowner should not read the proposal as a plan to erase a tax bill altogether.

A home assessed at $150,000 or less in 2027 could owe no county, city, or special-district property taxes covered by the proposed exemption. The comparable threshold would be $250,000 in 2028. School taxes would still apply, as could charges or assessments that are not changed by the amendment.

For homes above those values, the possible benefit comes from removing a fixed amount of assessed value from the non-school tax calculation. That is different from a fixed dollar discount. The result depends on the property’s assessed value, exemptions, and the local non-school millage rates that apply to it.

Why Timing Matters for New Buyers

The proposal treats some new Florida residents differently from people who are already Florida residents by December 31, 2026. A person who is not a Florida resident on that date would first receive the existing homestead exemption upon qualifying. The increased exemption would begin with the fifth year of exemption, to the extent permitted by the U.S. Constitution.

That distinction matters for first-time buyers moving into Tampa Bay. Two buyers may purchase comparable primary homes but have different timing for the larger proposed exemption. A purchase price alone cannot answer the question. Whether the home will be a qualifying primary residence, the buyer’s residency history, and the eventual outcome of the vote all matter.

The proposal also would not extend the larger homestead exemption to a rental, investment home, vacation property, or second home. Buyers should be careful not to assume a prior owner’s tax situation will automatically carry over. Reviewing current assessed value, available exemptions, and official local tax information is a sensible part of due diligence.

A Separate Rule for Rentals and Second Homes

Amendment 3 includes a second major provision: it would reduce the annual cap on assessment increases for non-homestead property from 10% to 5%. That category includes rental and investment homes, vacation properties, commercial property, and second homes.

A cap on assessment growth is not the same as an exemption, and it does not freeze a future tax bill. A property’s taxes can still be influenced by its assessment, applicable millage rates, and other permitted taxes or fees. Still, the proposed cap could give owners of non-homestead property a different kind of predictability to evaluate if the amendment passes.

For sellers, this is a reason to communicate carefully. It is appropriate to share factual information about a property’s current taxes and assessment. It is not appropriate to promise a buyer a future tax bill or present Amendment 3 as an approved benefit. Eligibility will depend on the property’s use and the buyer’s circumstances.

The Bigger Tampa Bay Question

The proposal could lower non-school property taxes for qualifying homeowners while reducing the local revenue available to governments. Florida TaxWatch describes a nearly $12 billion recurring statewide local-revenue impact. The Tampa Bay Times reported that Hillsborough County could lose about $261 million in property-tax revenue in 2028 and about $468 million in 2029.

Those figures do not establish how any Tampa Bay government would respond. The amendment itself would require counties and municipalities to use property-tax revenue for specified categories, including public safety, education and schools, infrastructure, natural resources, bond debt service, employee retirement benefits, and operations and administration. Local budget decisions, millage rates, fees, and services would still involve future public processes.

Supporters frame the proposal as homeowner relief; critics and concerned organizations point to pressure on local services and other potential costs. Both the personal and community sides deserve attention. For a buyer or owner, the practical takeaway is simple: treat potential savings as an estimate, not a guarantee, and check the details that apply to a particular property.

A Practical Next Step

Whether you are comparing a first home, preparing to sell, or assessing a rental or second home, a clear conversation about property use and current tax information can help you ask better questions. Amendment 3 is a timely issue, but its ultimate effect depends on the election result and facts unique to each property and household.

For help evaluating how a Tampa Bay property fits your buying, selling, or ownership goals, contact HauzMart Realty at (813) 803-2115 or visit hauzmart.com/contact.

Sources

• With Election Day Looming, Polls Differ on Florida Property Tax Cut Amendment
• Increased Homestead Exemption; Lower Cap on Increases in Non-Homestead Property Assessments
• Florida Property Tax Resource Center
• All 3 Florida amendments on the 2026 ballot, explained