Florida County Homestead Caps & Non-School Exemptions 2026

Quick answer

Why this matters before you lock a Florida mortgage

If you are shopping for a Florida home or refinancing, your property tax line is the part of the monthly payment most likely to vary by county. Lenders fold a year’s estimated property tax into your escrow account, then divide it across twelve months as part of your PITI: principal, interest, taxes, insurance. When your county has adopted Florida’s optional homestead layers under §196.075, the escrow estimate drops, the monthly payment drops, and your debt-to-income ratio at loan qualification improves.

Florida Amendment 5, approved by voters in November 2024 and effective January 1, 2025, ties the second $25,000 base exemption to inflation each year. Several counties also updated their senior-exemption ordinances for tax year 2026.

Pick your path: four readers, four next steps

The Florida homestead stack, in plain language

Every Florida homestead, meaning every primary residence owned and occupied by January 1, automatically gets three statewide protections.

The first $25,000 base exemption reaches every taxing authority, including the school district. If your home’s assessed value is at least $25,000, this layer is yours.

The second $25,000 base exemption applies when assessed value sits between $50,000 and $75,000, and only against non-school taxes — county, city, and special-district levies, not school millage. (Millage is the tax rate per $1,000 of taxable value. Ad valorem means “according to value.”) After Amendment 5, this tier adjusts each January for inflation.

The Save Our Homes cap (Florida Statute §193.155) limits annual increases in assessed value to 3% or the year-over-year CPI change, whichever is lower. Over years of ownership, assessed value drifts below market value, locking in a gap that resets only when you sell. Portability lets you carry up to $500,000 of that gap forward to a new Florida homestead within three tax years. For more context, see Florida property tax changes to watch in 2026.

Which counties stack additional exemptions on top

Florida Statute §196.075 authorizes counties and cities to adopt a senior additional homestead exemption of up to $50,000 and, separately, a Long-Term Resident exemption equal to the property’s full assessed value for qualifying long-tenured homeowners. Both layers tie to the same income limit, apply only to non-school taxes, and require an enabling ordinance from the local government.

The senior additional exemption is open to homeowners 65 or older as of January 1 who live in the home as their permanent residence and meet the income test. For tax year 2026, that limit is $38,686, verified against the Florida Department of Revenue. The figure resets each January based on the Consumer Price Index.

The Long-Term Resident exemption is more generous but harder to qualify for. To qualify for Florida’s Long-Term Resident exemption, you must be 65 or older, have lived in the home as your permanent residence for at least 25 years, have household income at or below the annually adjusted limit ($38,686 for tax year 2026), and the property’s just value must be less than $250,000. When all four are met, the county and city ad valorem portion can drop to zero. Only school district taxes remain.

Most large Florida counties have adopted one or both layers; smaller and more rural counties may not have. Individual cities within a county may add their own ordinance.

How to file: a step-by-step roadmap

Filing is a paper process handled by the county, not the lender. Most appraisers accept online submissions, but the form set is the same statewide.

1. 1
   Confirm eligibilityYou must own and occupy the home as your primary residence by January 1 of the tax year.
2. 2
   Gather documentationA Florida driver’s license showing the property address, voter or vehicle registration tied to the address, and, for senior layers, your prior-year federal tax return.
3. 3
   File Form DR-501Submit to your county property appraiser for the base homestead exemption. One-time filing, automatic renewal.
4. 4
   File Form DR-501SCFor the senior additional and Long-Term Resident exemptions. Income recertification is generally required each year.
5. 5
   Meet the March 1 deadlineSome counties accept late filings within 25 days of the August TRIM notice with good cause.
6. 6
   Time your purchase intentionallySee our Florida mortgage loan process guide for how loan timing interacts with January 1 eligibility.

What this means for your mortgage escrow and monthly payment

Every layer that lowers your annual property tax also lowers your monthly housing cost. When you finance a Florida home, your lender opens an escrow account alongside the mortgage; each month you pay one-twelfth of the estimated annual property tax and homeowners insurance into it, and the lender forwards the lump sum to the county when due. That escrow figure shows up in your PITI — the all-in monthly payment lenders use to qualify you.

If your target county has adopted the §196.075 senior exemption and you qualify, the escrow estimate reflects the lower bill. A lower property tax escrow lowers your monthly PITI, which lowers your debt-to-income ratio (DTI) at qualification, the same change that may help you qualify for a larger loan, a better rate, or a longer pre-approval window.

The exemption does not reduce your loan amount, interest rate, or principal. It reduces the tax line in your monthly payment, and that change compounds over the loan term. For more, see how Florida home insurance affects your mortgage payment and smart tax deductions Florida homeowners need now.

Common mistakes Florida buyers and homeowners make

• •Assuming all exemptions touch school taxes. Only the first $25,000 of the base homestead reaches school district millage. Every additional layer applies only to non-school levies.
• •Missing the March 1 deadline. Late applications may be accepted within 25 days of the August TRIM notice with good cause, but filing before March 1 is safest.
• •Forgetting annual income recertification. The senior layers (DR-501SC) typically require yearly income verification. Skipping a year may drop the exemption.
• •Double-filing in two states. Claiming homestead in Florida and a similar exemption elsewhere disqualifies the Florida benefit and may trigger back taxes plus penalties.
• •Assuming Save Our Homes portability is automatic. It is not. You must apply within three tax years of selling your previous Florida homestead, on Form DR-501T.
• •Budgeting escrow on the pre-exemption bill. If your escrow estimate does not reflect the county’s exemption stack, your monthly payment runs high and the reconciliation can be lumpy.

For more, see costly tax mistakes Florida property owners avoid.

Frequently asked questions

Sources & References

1. Florida Department of Revenue — Property Tax Oversight — https://floridarevenue.com/property/Pages/default.aspx
2. Florida Statute §196.075 — Additional homestead exemption — http://www.leg.state.fl.us/statutes/index.cfm?App_mode=Display_Statute&URL=0100-0199/0196/Sections/0196.075.html
3. Florida Statute §193.155 — Save Our Homes assessment cap — http://www.leg.state.fl.us/statutes/index.cfm?App_mode=Display_Statute&URL=0100-0199/0193/Sections/0193.155.html
4. Florida Amendment 5 (2024) — Ballotpedia — https://ballotpedia.org/Florida_Amendment_5,_Annual_Inflation_Adjustment_for_Homestead_Property_Tax_Exemption_Value_Amendment_(2024)
5. Two Additional Homestead Exemptions for Persons 65 and Older (Florida DOR) — https://floridarevenue.com/property/Documents/AdditionalHomesteadExemptions.pdf
6. PTO Bulletin 24-20 — Amendment 5 Implementation — https://floridarevenue.com/TaxLaw/Documents/PTO%20BUL%2024-20%20Constitutional%20Amendment%205%20Annual%20Inflation%20Adjustment%20to%20Homestead%20Exemption%20Value.pdf
7. Broward County Property Appraiser — Senior Exemption — https://bcpa.net/senior_instructions.asp
8. Palm Beach County Property Appraiser — Limited Income Senior Exemption — https://pbcpao.gov/limited-income-senior.htm
9. Volusia County Property Appraiser — Senior Exemptions — https://vcpa.vcgov.org/exemption/senior
10. Consumer Financial Protection Bureau (CFPB) — Escrow accounts — https://www.consumerfinance.gov/ask-cfpb/what-is-an-escrow-or-impound-account-en-140/