Amendment 3 Explained: What Florida's November Ballot Means for Homeowners and Prospective Buyers

The Reynolds Team of Compass and Indian River County Property Appraiser Wesley Davis outline how the proposed constitutional amendment would reshape homestead exemptions, assessment caps, and residency timing for Treasure Coast property owners

VERO BEACH, Fla., Sept. 29, 2026 /PRNewswire/ -- Florida voters will decide on November 3 whether to approve Amendment 3, a proposed constitutional change that would raise the non-school homestead exemption from $50,000 to $150,000 in 2027 and $250,000 in 2028, reduce the non-homestead property assessment cap from 10% to 5%, and create a five-year waiting period before new residents qualify for the full exemption. The measure, formally titled "Increased Homestead Exemption; Lower Cap on Increases in Non-Homestead Property Assessments" (HJR 1F), passed both chambers of the Florida Legislature on June 2, 2026, and requires 60% voter approval to take effect, according to the Florida Senate.¹

For property owners on the Vero Beach barrier island and throughout Indian River County, the property tax amendment creates distinct implications depending on current homestead status and residency timeline.

"Every homesteaded property owner in Indian River County will see this amendment on their ballot, and the mechanics matter more than the headline," said Wesley Davis, CFA, Indian River County Property Appraiser in an interview on The Reynolds Team podcast. "Current homesteaded owners on the barrier island and throughout the county would see a meaningful increase in their non-school exemption. Portability protections under Save Our Homes remain fully intact. The $500,000 portability cap and the three-year transfer window through Form DR-501T do not change under this amendment."²

For out-of-state buyers considering a permanent move to the Treasure Coast, the amendment introduces a timing element that did not previously exist. Buyers who establish Florida residency by December 31, 2026, would qualify for the full exemption immediately upon approval. Those who establish residency after that date would receive an initial $50,000 non-school exemption and would need to maintain their homestead for five years before qualifying for the higher amount.

"For buyers we are working with on the Vero Beach barrier island and on Hutchinson Island who have been weighing a permanent move to Florida, December 31, 2026 is now a date on their calendar," said Scott Reynolds, founder of The Reynolds Team of Compass in Vero Beach. "The five-year waiting period applies only to residency established after that date."

The amendment would also reduce the annual assessment cap on non-homestead properties in Indian River County and Saint Lucie County, including second homes, rental properties, and commercial real estate, from 10% to 5%. The Florida Legislature's fiscal analysis projects statewide revenue reductions of approximately $4.6 billion in the first year and $8.4 billion in the second year.³ Indian River County officials have estimated the local fiscal impact at approximately $50 million by 2028, according to WFLX.⁴ Local taxing authorities retain the ability to adjust millage rates annually through the budget process, and non-ad valorem special assessments, which are not affected by homestead exemptions, remain available as an additional revenue mechanism.

The increased exemption applies to non-school levies, which include funding for county and municipal services such as fire rescue, emergency medical services, law enforcement, and infrastructure. School district levies, which account for roughly 35 to 45 percent of a typical Florida property tax bill depending on the county, are not subject to the increased exemption. The amendment does not alter the existing Save Our Homes assessment cap of 3% annually for homesteaded owners. Portability rules for homesteaded owners moving within Florida remain unchanged.

Reynolds noted that the amendment's structure creates different considerations for the two buyer populations the team serves on the Treasure Coast. "Current homesteaded owners on the Treasure Coast keep every protection they have now, with a larger exemption if the amendment passes," Reynolds said. "Out-of-state buyers face a residency timing question that we did not have to discuss six months ago."

What Property Owners Should Know

Does Amendment 3 change Save Our Homes portability for current Florida homeowners? No. Current homesteaded owners who sell and purchase a new Florida home can still transfer up to $500,000 in accumulated Save Our Homes benefit within three tax years using Form DR-501T. The amendment does not alter the portability framework.

Which portions of a property tax bill are not affected by the increased homestead exemption? The increased exemption applies only to non-school ad valorem levies. Several components of a property tax bill remain unchanged regardless of whether the amendment passes. School district levies retain only the existing $25,000 homestead exemption and are not subject to the higher exemption; school taxes account for roughly 40 percent of a typical Indian River County property tax bill, based on combined school district millage rates published in the county's FY 2025/2026 Revenue Manual.⁵ Non-ad valorem special assessments, including fire rescue assessments, solid waste collection, stormwater utility fees, street lighting, and Community Development District bonds, are flat charges set independently of property value and are not reduced by any homestead exemption. These assessments are established by counties, municipalities, and special districts through their own public hearing and adoption processes, and they vary by jurisdiction. Millage rates also differ by county and municipality; each taxing authority sets its rates annually through the budget process and retains the ability to adjust them.

About The Reynolds Team of Compass
The Reynolds Team of Compass is a luxury real estate team based in Vero Beach, Florida, serving buyers and sellers across the Treasure Coast. Led by founder Scott Reynolds, the team focuses on coastal properties in Vero Beach, Hutchinson Island, Sebastian, and surrounding markets, and publishes recurring market research including the monthly Vero Luxury Market Report. More information is available at myreynoldsteam.com.

Sources ¹ CS/HJR 1F — Florida Senate Bill Page ² The Reynolds Direction Podcast, Jul 20, 2026 ³ Florida House of Representatives, Final Bill Analysis — CS/HJR 1F, Jun 16, 2026 ⁴ Indian River County leaders warn property tax amendment could cost county $50M, WFLX, Jun 12, 2026 ⁵ Indian River County FY 2025/2026 Revenue Manual 

Media Contact Sheana Firth Marketing Director, The Reynolds Team of Compass [email protected]

SOURCE The Reynolds Team of Compass