Florida Property Tax Proposal: What Homeowners, Buyers, and Sellers Should Know

Florida Property Tax Proposal: What Homeowners, Buyers, and Sellers Should Know

Florida lawmakers are heading into a special legislative session beginning June 1, 2026, to consider a major property tax relief proposal backed by Governor Ron DeSantis. If approved by the Legislature, the proposal could go to Florida voters as a constitutional amendment. Because constitutional amendments in Florida generally require 60% voter approval, this is not final law yet, but it is important enough for homeowners, buyers, and sellers to watch closely.

The proposal is called “Save Our Homes from Excessive Property Taxes.” Its main goal is to increase the homestead exemption for primary residences and create a path toward eventually eliminating homestead property taxes.

Check Your Estimated Property Tax Savings

The state has launched a new online tool where homeowners can enter their property address and see an estimate of potential savings under the proposal.

Use the calculator here: Save Our Homes Tax Savings Calculator⁴

The calculator uses available 2025 tax bill data to estimate what a homeowner might save if the larger homestead exemption is approved. However, the site clearly says the results are for illustration only and are not a tax bill. In other words, it is a helpful planning tool, but it should not be treated as a guaranteed future tax amount.

The Major Points of the Proposal

The proposal would make several significant changes to Florida’s property tax system. The biggest benefit would be aimed at homesteaded primary residences, meaning homes used as the owner’s permanent residence.

What This Could Mean for the Real Estate Market

For homeowners, lower property taxes sound like a clear win. A lower tax bill can reduce the cost of owning a home and may make monthly housing costs easier to manage. That could be especially helpful at a time when many buyers are already dealing with elevated mortgage payments, insurance costs, and general affordability concerns.

But there is another side to the story. When the cost of owning a home goes down, buyers may be willing to pay more for the property itself. That means some of the tax savings could eventually show up as higher home prices.

Realtor.com senior economist Joel Berner estimated that eliminating property taxes on owner-occupied homes in Florida could increase home values by about 7% to 9%, adding roughly $200 billion to $250 billion in owner-occupied housing value statewide.  A related analysis from James Moore & Co. estimated that even eliminating only non-school property taxes could increase home values by 4% to 5.5%.

That would likely benefit current homeowners by increasing equity. However, it could make the market harder for first-time buyers and renters trying to purchase, especially if prices rise faster than incomes.

Why Local Budgets Matter

The biggest policy question is how local governments would replace lost revenue. Property taxes help fund schools, public safety, roads, infrastructure, parks, and other local services. The Florida Policy Institute estimated that a $250,000 homestead exemption could reduce school district revenue by about $5 billion annually and county revenue by about $4.8 billion annually. If homestead property taxes were fully eliminated later, those losses could become much larger.

That matters for real estate because strong schools, safe communities, good infrastructure, and quality local services all support property values. If local governments respond with higher fees, budget cuts, or other tax changes, the final impact on homeowners could vary by county and city.

Current Market Context

Florida’s housing market is already showing signs of renewed activity. Florida Realtors reported that April 2026 was the eighth straight month of year-over-year closed sales gains for both single-family homes and condos/townhomes. Single-family closed sales were up 2.4%, condo and townhome sales were up 6.9%, and the statewide single-family median price rose 1.8% to $420,000.

Inventory is still important to watch. Florida Realtors reported 4.7 months of single-family supply and 8.9 months of condo/townhome supply in April 2026. Chief Economist Dr. Brad O’Connor also noted that Florida homes took a median of 44 days from listing to contract, making local days on market, price reductions, and pending sales especially important heading into summer.

Bottom Line

This property tax proposal could be a major change for Florida real estate, but it is still only a proposal. The Legislature must first approve it, and voters would still need to pass it before it becomes law.

For now, homeowners should use the state calculator to estimate potential savings, buyers should remember that lower taxes could also push prices higher, and sellers should continue pricing based on real local market data. The proposal could help homeowners, but its full impact will depend on the final ballot language, voter approval, and how local governments respond.

References

1. Executive Office of the Governor, June Special Session Proclamation, filed May 27, 2026.
2. Florida Policy Institute, “Map: Projected Revenue Loss for Florida School Districts and Counties Under Governor’s Property Tax Reform Proposal”.
3. Governor Ron DeSantis Announces Special Session on Property Tax Relief & Unveils “Save Our Homes” Property Tax Elimination Proposal.
4. Save Our Homes Tax Savings Calculator.
5. Florida Senate, SJR 2-F filed text.
6. Florida Realtors, “Lawmakers to begin special session on property taxes”.
7. Yahoo Finance/Benzinga, “Florida Home Prices Could Jump 9%”; see also WFLX, “Florida home values could jump 9% if property taxes eliminated, economist says”.
8. James Moore & Co., “Florida Property Tax Reform Proposal Could Increase Home Values Up to 9%”.
9. Florida Realtors, “Florida home sales rise again in April”.
10. Florida Realtors, “Florida housing market at inflection point as summer approaches, economist says”.