No state income tax, a homestead exemption and a cap on assessed value: how Florida's property-tax rules work for buyers making a club community their primary home.
Many buyers in Florida's club communities are relocating from other states, and taxes are part of the conversation. Here is an overview of the rules that most often come up. Treat it as a starting point, and confirm the details with your county property appraiser and tax adviser.
No state personal income tax
Florida does not levy a personal income tax. For buyers moving from high-tax states, that is often a significant factor, though property taxes, insurance and association costs still need to be part of the budget.
The homestead exemption
If a Florida home is your permanent residence as of January 1, you can apply for the homestead exemption. It reduces the taxable value of the home:
- The first $25,000 of exemption applies to all property taxes, including school taxes.
- An additional exemption applies to assessed value above $50,000 for non-school taxes. This second portion is now adjusted annually for inflation; for 2026, county appraisers put the combined maximum at $51,411.
Applications are made to your county property appraiser, generally by March 1 of the tax year. Many counties allow online filing.
Save Our Homes: a cap on assessed value
Once your home is homesteaded, Florida's Save Our Homes provision limits how much its assessed value can rise each year: by 3% or the change in the Consumer Price Index, whichever is lower. Appraisers report the 2026 cap as 2.7%.
Over time, the gap between market value and assessed value can become substantial, especially in appreciating markets. When the home sells, the assessment generally resets to market value for the new owner. That is why two similar homes on the same street can have very different tax bills.
Portability
If you move from one Florida homestead to another, you may be able to transfer some or all of your accumulated Save Our Homes benefit to the new home, up to $500,000. You must apply, and there are deadlines, so ask your property appraiser when you buy.
Club-community extras on the tax bill
In many newer communities, your annual property tax bill also includes Community Development District (CDD) assessments for infrastructure and sometimes amenities. They are not covered by the homestead exemption the way ad valorem taxes are, so look at the full bill for any home you are considering.
Seasonal residents
If the Florida home is a second home, it will not qualify for the homestead exemption, and the Save Our Homes cap does not apply. Non-homestead residential property has its own, separate limit on annual assessment increases. Talk to your adviser about the difference before deciding which home will be your legal residence.
Rules are changing
Florida's property-tax rules are under active debate, and further changes have been proposed. Before you rely on any figure here, check your county property appraiser's website for the current rules.
This article is general information, not tax or legal advice. Consult a qualified Florida tax professional about your situation.
