Florida Votes to Slash Property Taxes as Amendment 3 Passes - Newsweek

Florida voters approved Amendment 3 on Tuesday, clearing the way for property tax cuts for some homeowners and potentially docking millions in funding for vital public services.

The measure passed with 62 percent of voter support, surpassing the mandated 60 percent, as 38 percent voted no.

The Florida Republican Party celebrated the win on Tuesday night as did Florida Governor Ron DeSantis. "An incredible VICTORY for Florida homeowners! Amendment 3 has PASSED, increasing the homestead exemption on non-school taxes to $150,000 in 2027 and $250,000 in 2028. More money stays in your pocket," the Florida GOP said on X. DeSantis called it a "big win."

A homesteaded property is a person's primary residence, and vacation, rental and investment properties typically do not qualify. Florida's Orange County estimated that by 2028, property tax revenue would be reduced by $275 million.

Amendment 3 will increase the non-school homestead tax exemption from $50,000 to $150,000 in 2027 and up to $250,000 by 2028.

Critics argue that the amendment will impact services and programs throughout the state, including public safety, parks and infrastructure.

Miami-Dade County Commissioner Roberto J. Gonzalez praised the election results on X Tuesday night, saying in part that "You cannot talk about affordability without talking about the high and rising costs of local government that hit homeowners hardest." He also called it a "big win" for the state.

Florida homeowners who qualify for the homestead tax exemption would see the most financial benefit from Amendment 3. Renters and other Floridians without homesteaded property would not receive the same savings, and critics warn they could face costs indirectly if local governments or businesses turn to other taxes or fees to replace the lost property-tax revenue.

The larger impact will affect programs and services funded by local property taxes. State economists estimate the measure could reduce revenue available for local public services by roughly $5 billion in 2027 and nearly $12 billion by 2031—which may squeeze funding for law enforcement, fire and additional emergency services, roads, libraries, parks and public hospitals.

Craig Agranoff, political professor at Florida Atlantic University, told Newsweek on Tuesday that he was not surprised by the amendment passing. "Florida voters have a long record of backing measures that lower their own property tax bills. The 62% yes vote cleared the 60% threshold without much drama once the ballots came in. Local governments will certainly feel the revenue hit, and that debate will continue, but the direct benefit to primary residences was the message that won. In a state where housing costs stay high, a ballot measure that puts more money in homeowners’ pockets usually finds majority support. This one fit that pattern."

Midterm elections in general are commonly viewed as a test of the political environment facing the party in power, and the president's party has historically lost seats during them. President Donald Trump's overall approval rating and ranking on specific policy issues like the economy, immigration, jobs and the ongoing war in Iran have recently slipped as households across America are consistently flagging affordability concerns.

This amendment increases the homestead exemption, for all non-school taxes, to $150,000 in 2027 and $250,000 in 2028, and adjusts for inflation thereafter. It requires the Legislature to prescribe a uniform procedure for counties and municipalities, for their respective levies, to increase the homestead exemption up to full assessed value, and allows special districts, subject to referendum approval, to do the same.

Persons who are not Florida residents on December 31, 2026, will receive the existing homestead exemption upon qualifying for a homestead exemption, with the increased homestead exemption beginning with the fifth year of exemption, to the extent permitted by the U.S. Constitution.

This amendment reduces the annual cap on assessment increases for non-homestead properties from 10% to 5%. This amendment requires counties and municipalities to use property taxes solely for public safety, education and schools, infrastructure, natural resources, bond debt service, retirement benefits for employees, and operations and administration. Other expenditures may be approved by county officers or county or municipal governing bodies unless prohibited by general law, notwithstanding Article VII, Section9(a) of the Florida Constitution, which allows counties and municipalities to levy property taxes for their respective purposes. This amendment takes effect January 1, 2027."

Newsweek’s reporters and editors used Martyn, our AI assistant, to produce this story. Learn more about Martyn here. Contact Newsweek editors on this story: Alfred Joyner and Edward T. Cummins