Florida Amendment 3 Passed: What It Means for Your Property Taxes in Fort Myers and Cape Coral

by Elizabeth Steele

By Elizabeth Steele

Florida Amendment 3 Passed: What It Means for Your Property Taxes in Fort Myers and Cape Coral

Last week, a buyer from Indiana asked me a question I didn't want to guess on. Her brother had just bought a home here, and she's ready to follow him to Southwest Florida. Her question was simple.

Would the property tax amendment on the ballot change when she should buy?

I looked up the full text of Florida Amendment 3 to give her a real answer. The answer was yes, timing matters. So we start looking at homes next week, with the goal of making her a Florida resident with a homestead before the new rules kick in.

On November 3, Florida voters approved Amendment 3, the property tax amendment. If you own a home in Fort Myers or Cape Coral, own a rental, or plan to move here, it affects you. Here's what it means, in plain terms.

Florida Amendment 3 Passed: The Short Version

Amendment 3 raises the homestead exemption on non-school property taxes and slows how fast assessed values can rise on non-homestead property.

The changes start January 1, 2027. You'll see them first on your August 2027 TRIM notice, then on your November 2027 tax bill.

That's the headline. The details depend on what kind of owner you are.

If You Own a Homestead in Fort Myers or Cape Coral

The non-school homestead exemption goes from about $51,000 today to up to $150,000 in 2027. In 2028, it rises to up to $250,000.

The $25,000 school exemption stays the same. Save Our Homes and portability don't change.

Why I won't give you a savings number

You'll see headlines promising homeowners a specific dollar amount in savings. I'd be careful with those.

Every property is different. Your assessed value, your Save Our Homes history, your city or county millage rate, and the other exemptions you qualify for all change the math.

Many homeowners also qualify for additional exemptions when they apply for homestead. Seniors, veterans, people with disabilities, and surviving spouses may each have options. The Lee County Property Appraiser can tell you exactly which ones apply to you.

Rental, Second-Home, and Investment Property Owners

Amendment 3 doesn't give you a homestead exemption. It does give you something useful.

The yearly cap on assessed value increases drops from 10% to 5% for non-school taxes. School taxes stay based on market value.

For rental owners, that means more predictable carrying costs and steadier cash flow projections. If you own a rental in Lee County, it's worth rerunning your numbers.

Moving to Southwest Florida? Why Timing Matters

This is the part most people moving here won't hear about.

If you're not a Florida resident by December 31, 2026, you start with the current exemption of about $50,000. The larger exemption begins in your fifth year of having a homestead exemption. (Leon County Amendment 3 FAQ)

Some legal guidance reads the rule more strictly. Henderson Franklin, a Fort Myers law firm, says you need to be a Florida resident with qualifying homestead property by December 31, 2026. That's why my Indiana buyer and I are aiming for both: residency and her own home before year-end.

Homestead basics for new residents

You must own the home and make it your permanent residence as of January 1 of the tax year.
You file your homestead application with the Lee County Property Appraiser by March 1.
Starting in 2030, a county or city can vote to shorten the five-year wait, but that isn't guaranteed.

If you're planning a move, the next eight weeks matter. These rules have details, so confirm your situation with the Property Appraiser or a real estate attorney before you count on any benefit.

The Honest Part: A Cap Is Not a Freeze

Amendment 3 limits how fast your assessed value can rise. It does not lock in tax rates.

State economists estimate local governments could lose nearly $5 billion in revenue in the first year (WUSF). Cities and counties will have to decide how to respond, and millage rates can still go up or down.

That's why next summer's city and county budget hearings are worth watching. It's also why I always remind buyers that insurance, HOA fees, and maintenance are part of the real cost of owning here.

Amendment 3 FAQ

Do I need to reapply for my homestead exemption?

If you already have a homestead exemption, check with the Lee County Property Appraiser for any updates. Current homeowners are not subject to the new-resident waiting period.

Does Amendment 3 lower my school taxes?

No. The increase applies only to non-school taxes. The $25,000 school exemption stays the same.

Does portability change?

No. Save Our Homes and portability work the same way they do today.

When will I see the change?

On your August 2027 TRIM notice, then on your November 2027 tax bill.

I'm moving to Florida next year. Do I still get an exemption?

Yes. You start with the current exemption of about $50,000. The larger one begins in your fifth year of homestead.

What This Means for You

Amendment 3 is good news for most Florida homeowners, but not for everyone. Homesteaders get a bigger exemption. Rental owners get a lower cap. People moving here need to watch the calendar.

If you're buying a condo, the tax bill is only part of the picture. Here's Demystifying Fort Myers Condo Assessments and Reserves. And if you're financing with FHA, check the building first: [LINK: not every condo can take an FHA loan → your FHA condo post].

Wondering what Amendment 3 means for your home, or your move? Send me your address or your timeline, and I'll walk through it with you. You can also ask, What’s Your Home Really Worth?

There's no rush and no pressure. I'm here whenever you're ready.