Florida Lawmakers Consider Raising Homestead Exemption: What It Means for Homeowners
As the Florida legislative session gets underway, property taxes are at the forefront of discussions, with lawmakers considering measures to ease the financial burden on homeowners. One key proposal, Senate Bill 1018, introduced by Senator Blaise Ingoglia, aims to raise the homestead exemption from $25,000 to $75,000. This proposal could provide significant relief to homeowners but also raises concerns about potential funding gaps for essential public services.
The Push for Higher Homestead Exemptions
State Senator Blaise Ingoglia, R-Spring Hill, has voiced concerns that rising property taxes are making homeownership increasingly unaffordable. His bill would not only increase the exemption but also index it to inflation, ensuring that as home values rise, so does the exemption amount.
“People are getting squeezed out of their homes just by property taxes,” Ingoglia said. His proposed legislation would eliminate the current homestead exemption structure and replace it with a new $75,000 exemption, which would automatically adjust with inflation over time.
Potential Impact on Local Governments
While homeowners may benefit from reduced property tax bills, local governments across Florida rely on these taxes to fund essential services such as law enforcement, fire protection, public schools, and infrastructure. Critics of the proposal, such as State Senator Lori Berman, D-Palm Beach County, argue that the loss of property tax revenue could lead to budget shortfalls that might have to be compensated with regressive measures like sales tax increases.
“You will have to make up for that income somewhere else,” Berman said. “Oftentimes, where you make up for it is something very regressive like a sales tax because the sales tax applies to everybody.”
A Step Toward Eliminating Property Taxes?
Governor Ron DeSantis has been vocal about the burden of property taxes, even suggesting that Florida should work toward eliminating them altogether. While the complete elimination of property taxes remains unlikely in the near future, some lawmakers, including Rep. Ryan Chamberlin, R-Belleview, have pledged to begin the process. Chamberlin has introduced a bill (HB 357) that would install a $100,000 exemption on all properties—homesteaded and non-homesteaded—by putting the measure before voters in the 2026 election.
Cutting property taxes would require alternative revenue sources to replace the estimated $50 billion they generate annually. Suggestions include reducing government spending, increasing sales taxes, or introducing new fees. However, critics argue that such changes could disproportionately affect lower-income residents who spend a higher percentage of their income on sales taxes.
The Homestead Exemption & Save Our Homes Cap
For many Florida homeowners, the homestead exemption and the Save Our Homes cap have been vital tools in controlling property tax increases. The current exemption allows homeowners to reduce their property’s taxable value by up to $50,000, while the Save Our Homes cap limits annual increases in assessed value to 3%.
If the proposed changes are enacted, homeowners could see even greater savings, particularly if the exemption increase is coupled with the existing assessment limitations. However, the trade-offs for local funding will need to be carefully considered.
How to Apply for Homestead Exemption
For homeowners looking to take advantage of Florida’s homestead exemption, the deadline to apply for 2025 is March 3, 2025. To qualify, applicants must:
Own and occupy the property as their primary residence as of January 1, 2025.
Submit the required documentation, including a Florida driver’s license or ID, vehicle registration, voter registration, and proof of residency.
File their application with the local property appraiser’s office by the deadline.
What’s Next?
While Senate Bill 1018 and related measures still require legislative approval, they highlight an ongoing debate over property tax reform in Florida. Homeowners and local officials alike should stay informed as these proposals move through the legislature.
If you own property in Florida, it’s important to keep an eye on these changes and understand how they might impact your tax obligations and local services. Whether the proposed exemptions will provide relief without compromising essential services remains to be seen, but one thing is clear—Florida’s property tax system is at a crossroads.
