Florida Amendment 3: What It Means for Property Taxes If You're Moving from the Northeast
When I talk to buyers relocating from New York or New Jersey, the conversation almost always starts with income taxes. Zero state income tax in Florida versus 10.9% at the top in New York, plus another 3.876% if you live in the city — the math is obvious. But property taxes are where the real nuance lives, and Amendment 3 is worth understanding before you buy.
Here is what it actually does, in plain terms.
What Amendment 3 Changes — and What It Leaves Alone
The amendment expands homestead tax relief beyond the existing $50,000 assessed value reduction. The intent is to reduce the property-tax burden for primary homeowners, particularly as assessed values have climbed sharply across South Florida over the past few years.
It also lowers the annual assessment cap on non-homestead property — think investment properties, second homes, and rentals — from 10% to something more protective. Currently, non-homestead properties can see assessments jump up to 10% per year, which adds up fast in an appreciating market.
What it does not touch: Save Our Homes and portability. Save Our Homes caps annual assessment increases on your primary residence at 3%. Portability lets you carry that accumulated benefit — sometimes hundreds of thousands of dollars in suppressed assessed value — when you move to a new Florida home. Those two protections stay exactly as they are.
Why This Matters for Buyers Coming from New York and New Jersey
Most of my Northeast clients are buying in the $1.5M to $4M range, usually in Parkland Golf & Country Club, MiraLago, or Heron Bay. At those price points, property taxes are a real line item — typically somewhere between $18,000 and $40,000 annually depending on the community and millage rate.
The expanded homestead exemption directly reduces your assessed value, which reduces that bill. And once you establish homestead, Save Our Homes kicks in and your assessment can only grow 3% per year regardless of what the market does. If you bought in New York and watched your property tax bill climb without any meaningful cap, this structure feels very different.
The non-homestead cap reduction matters most if you are keeping a property in the Northeast while you get your Florida residency established, or if you plan to buy an investment property here alongside your primary home. Buyers managing 1031 exchanges or dual-state portfolios tend to pay close attention to this piece.
The Broader Tax Picture for Florida Relocators
Amendment 3 does not exist in isolation. It is one layer of a property-tax structure that was already more favorable than what most Northeasterners are used to. The homestead exemption, the 3% Save Our Homes cap, portability — these exist today. The amendment builds on top of them.
Combined with no state income tax, no estate tax, and no inheritance tax in Florida, the overall picture for someone leaving New York or New Jersey is meaningful. I have had clients calculate their annual tax savings at $150,000 or more, purely from the income tax differential, before property taxes even enter the conversation. A detailed breakdown of Florida versus New York taxes is worth reading if you want to run those numbers for your own situation.
What to Watch as a Buyer
A few things to keep in mind. First, the expanded homestead benefit only applies to your primary residence. If you are buying a second home in Florida while maintaining domicile in New York, you will not qualify — and plenty of buyers make that mistake.
Second, portability has a two-year window. If you sell a Florida home and do not buy another within two years, you lose the accumulated Save Our Homes benefit. For move-up buyers or people downsizing, timing matters.
Third, assessed value and market value are different things. Your neighbor may have owned for fifteen years and have an assessed value half of what you pay — that is Save Our Homes working exactly as intended, but it can make tax comparisons between listings misleading.
How I Use This With Clients
When I am working with someone relocating from the Northeast, I pull the current assessed value, the millage rate, and the homestead status on every home we consider. A home that looks expensive on paper sometimes has a lower effective tax burden than a cheaper house that was recently reassessed at market value.
If you are planning a move from New York, New Jersey, or Connecticut, understanding both the income tax and the property tax picture before you start writing offers will save you from some unpleasant surprises at closing.
If you want to talk through how Amendment 3 and the broader Florida tax structure apply to your specific situation, reach out at ZenQuest Realty — I am happy to walk through the numbers with you directly.