Vero Beach – September 29, 2026 -- Florida voters will decide on November 3 whether to approve Amendment 3, a constitutional change that would raise the non-school homestead exemption from $50,000 to $150,000 in 2027 and $250,000 in 2028, while cutting the non-homestead assessment cap from 10% to 5%. The measure, HJR 1F, passed both chambers of the Florida Legislature on June 2, 2026, and needs 60% voter approval to take effect.
For property owners on the Vero Beach barrier island and throughout Indian River County, the amendment's fine print carries more weight than its headline number.
Current homesteaded owners keep every existing protection
"Portability protections under Save Our Homes remain fully intact," said Wesley Davis, CFA, Indian River County Property Appraiser, on The Reynolds Team podcast. The $500,000 portability cap and the three-year transfer window through Form DR-501T do not change under the amendment, and the existing 3% annual Save Our Homes assessment cap stays in place.
New residents face a hard December 31, 2026 deadline
Buyers who establish Florida residency by that date would qualify for the full exemption immediately upon approval. Anyone establishing residency afterward would start with only a $50,000 non-school exemption and must hold the homestead for five years before reaching the higher amount. "December 31, 2026 is now a date on their calendar," said Scott Reynolds, founder of The Reynolds Team of Compass in Vero Beach, referring to buyers weighing moves to the barrier island and Hutchinson Island.
Non-homestead properties get a lower assessment cap
Second homes, rental properties, and commercial real estate in Indian River and Saint Lucie counties would see their annual assessment cap drop from 10% to 5% if the amendment passes.
The fiscal impact runs into the billions statewide
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. Indian River County officials have estimated a local impact of roughly $50 million by 2028, according to WFLX. Local taxing authorities can still adjust millage rates annually, and non-ad valorem assessments remain untouched by any homestead exemption.
School taxes are not part of the deal
The increased exemption applies only to non-school levies covering fire rescue, EMS, law enforcement, and infrastructure. School district levies, which make up roughly 40 percent of a typical Indian River County tax bill under the county's FY 2025/2026 Revenue Manual, keep only the existing $25,000 homestead exemption regardless of the vote.
Flat charges such as fire rescue assessments, solid waste collection, stormwater fees, street lighting, and Community Development District bonds are set independently by local jurisdictions and are not reduced by any homestead exemption, no matter the outcome on November 3.