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By Giulia Carbonaro
Senior Reporter
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Florida voters will decide in November whether to approve a controversial constitutional amendment which would dramatically slash property tax bills for millions of homeowners in the state while potentially hurting renters, according to critics.
The proposal, Amendment 3, was approved by the Florida legislature in June after months of back and forth between the House, the Senate, and Governor Ron DeSantis, who first advocated for the complete elimination of property taxes in the state.
While much-discussed and long-awaited, now it is set to be put on the ballot in November (with whatever wording might be decided after a judge struck down what was originally proposed as "misleading") the proposal is facing mounting criticism—including by Republicans.
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Supporters argue that the measure would provide much-needed relief for homeowners struggling as a result of years of rising insurance and housing costs, especially seniors.
Critics warn that the cuts are likely to shift costs onto renters and local governments, potentially leading to higher fees, reduced services, and rent increases.
Who Will Benefit From Florida’s Property Tax Reform?
Property taxes have stolen the limelight of Florida’s debate around higher housing costs, even as the financial burden has increased across the board since the pandemic for both homeowners and renters.
Between 2019 and 2024, Florida’s total property tax revenue grew by roughly 62.8 percent, jumping from about $31 billion to $55 billion, according to the latest data from the Florida Department of Revenue. It is a staggering increase, even as the property taxes paid by homeowners in the state remain lower than the national average, according to SmartAsset.
Under Amendment 3, also known as "Save Our Homes from Excessive Property Taxes," the current $50,000 homestead exemption limit would be raised to $150,000 in January 2027 and to $250,000 in January 2028, excluding school district levies.
The amendment would also limit local spending to "core services," such as public safety, public education, infrastructure and natural resource management.
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For some homeowners, the approval of the constitutional amendment could shrink the nonschool portion of the property tax bill dramatically and even reduce it to zero.
But housing costs will remain higher—and potentially increase, according to some critics—for renters. While two in three Florida households own their homes, according to 2025 Census Bureau data, 2.83 million rent their home, the National Low Income Housing Coalition reports.
These households are not faring much better than homeowners in the state. Consumer Affairs research cited by Florida Phoenix found that the Sunshine State is the most cost-burdened state in the nation for renters, with rent consuming 37.4 percent of typical income.
Could Rent Go Up for Floridians?
Whether rent will go up as a result of the amendment is one of the central points of dispute surrounding the proposal.
According to the independent tax policy nonprofit the Tax Foundation, if voters approve Amendment 3 in November, “[e]liminating such a sizable share of Florida’s property tax base would not reduce the cost of providing local government services; it would simply require that the lost revenue be generated elsewhere, including from higher millage rates on all property that remains taxable."
As the independent, non-partisan, nonprofit organization Florida Policy Institute (FPI) put it, this would lead "to a cost shift as localities turn to non-homesteaded properties like rental units or commercial properties to raise property taxes."
If property taxes increase for commercial properties as a result of the amendment, and all businesses end up paying more, "they would have to decide whether to absorb those costs or shift them onto renters and consumers," the FPI wrote.
A Leon County judge recently echoed these concerns when reviewing the amendment’s ballot language, writing that the proposal would provide relief "only to owners of homestead properties" while renters could face higher costs if landlords pass along increased tax burdens resulting from higher millage rates.
Newsweek contacted the Tax Foundation, FPI, and the National Low Income Housing Coalition for comment by email on Monday morning.
Would Landlords Receive Property Tax Relief?
Not exactly.
The largest benefits would go to owners of homesteaded properties, meaning primary residences occupied by their owners. Rental properties would not qualify for the expanded homestead exemption.
However, landlords could still receive some benefit from another component of the amendment because it lowers the assessment-growth cap for non-homestead residential properties from 10 percent to 5 percent.
Even if they would see tax advantages as a result of the amendment, there is no requirement under the proposal for them to pass savings on to tenants.
State Representative Rob Long said, as reported by the Florida Phoenix: "A landlord might get a tax benefit, but there is absolutely no guarantee that the renter sees a lower rent payment."
What Happens Next?
Amendment 3 will be put as a "yes/no" question to voters in November. If approved by at least 60 percent of voters, it will take effect on January 1, 2027.
A recent survey by the James Madison Institute found that 74 percent of voters would support the amendment at the moment, even though support dropped to 55 percent—below the minimum required—when respondents were told it could reduce funding for local government services.
Contact Newsweek editors for this story: Ben Kelly and Robert Greenall
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