Save Our Homes
Frequently Asked Questions
Amendment 10 - Homestead Assessment Limitation
What is the Save Our Homes Amendment?
“Save Our Homes” (SOH), an Amendment to the Florida Constitution, approved by Florida voters in 1992, effective January 1, 1995. SOH places a limitation of 3% on annual assessment increases on homestead exempt property. For all property first granted homestead exemption in the prior year, that year’s market value will be the base value for the implementation of “Save Our Homes”. Thereafter, the assessed value will not increase more than 3% or the percentage change in the Consumer Price Index (CPI), whichever is less. The property’s market value may differ from SOH assessed value. SOH assessed value will never be greater than market value. Section 193.155, Florida Statutes, was enacted to implement the amendment to the Florida Constitution to limit annual increases in property value assessments on real property qualifying for and receiving the homestead exemption.
Which property is affected?
Only homestead property that remains under the same ownership during the calendar year qualifies for the limitation.
How does a divorce or death of a spouse affect your SOH cap?
The cap remains in effect upon the change of title due to divorce or death of a spouse as long as the remaining owner originally made application and continues to live on the property as their permanent residence.
What types of property are not subject to the Save Our Homes cap?
Non-homestead property (such as residences without homestead, vacant land, non-residential property), agricultural property, tangible personal property as well as homestead property that has been sold or otherwise conveyed to a new owner during the calendar year are not subject to the limitation on assessment. (For more information on non-Homestead property assessment capping, see “Non-Homestead Limitation.”
What about improvements or additions to the property?
The additions or improvements are valued at market value in the year of construction, and that value is then added to your capped assessment. SOH then applies to these additions/improvements in subsequent years.
How is property with a partial homestead exemption affected?
Only that portion of the property receiving homestead exemption is subject to the assessment limitation. The remainder of the property is assessed at full market value under the law.
What is the so-called "recapture" rule?
In September 1995, the Governor and Cabinet approved a rule directing property appraisers to raise the assessed value of a qualifying homestead property by the maximum of 3% or the CPI, whichever is less, on all properties assessed at less than full market value whether or not that property's value increased during that calendar year.
For example, Property A's market value increases by 10% this year. As a homestead property, the property appraiser can only increase its value by 3%, or CPI, whichever is less, under the SOH limitation. In the next year, Property A's market value did not change. Since its assessed value under the limitation remains under market value, the property appraiser must increase the assessed value by 3%, or CPI, to bring its value closer to market value.
What happens when a property is sold or otherwise conveyed to a new owner?
The assessment on any property which is sold or otherwise conveyed to new owner during a calendar year is raised to full market value according to law. The limitation will be applied to the assessed value in the first year following the year in which the new owner qualifies the property for homestead exemption.
Even if the property received a homestead exemption under the previous owner, the limitation - just like the exemption - expires with a change in ownership. The new owner must apply for and receive a homestead exemption.
Can my TAXES go up more than SOH capped percentage?
Yes, SOH is a limitation on the assessed value of the homestead property, not the taxes. Millage rates (determined by the various taxing authorities) may increase or decrease as those taxing authorities determine their budgets. In addition, on multi-dwelling/agricultural parcels only the homesteaded portion is subject to the SOH limitation.
Non-Homestead Assessment Limitation
When did the 10% cap go into effect?
It became effective beginning with the 2009 tax roll. The 10% cap will only ensure your assessed value does not increase more than 10% from the previous year assessed value. The cap will remain, providing ownership does not change, there was no split or combination of the property during the previous year, and no new construction has occurred.
What is “non-homestead property”?
All properties that DO NOT have a homestead exemption, such as 2nd homes, rental properties, vacation homes, vacant land or commercial property.
Do I have to apply to receive this cap?
No, the cap will automatically be applied to your property.
Can I get the 10% cap on my homestead property?
No, this assessment cap is only for all “non-homestead” properties. Homesteads already benefit from the maximum 3% Save Our Homes assessment cap.
Will the 10% cap reduce my taxes?
There is no guarantee your taxes will reduce due to the 10% assessment cap, as many other factors are involved such as tax rates and non-ad valorem assessments, neither of which are determined by the Property Appraiser.
Will my assessment increase 10% each year?
Not necessarily. The maximum amount your assessment can increase from one year to the next is 10%. Depending on market factors, your assessed value could increase less than 10% or could decrease.
Does the 10% cap apply to millage rates of ALL taxing authorities?
The 10% cap applies to all taxing authority millage rates EXCEPT the School Board millage.
If I purchase a property that has received benefit from the 10% cap, will my assessment change from the prior owner’s assessment?
The 10% assessment cap remains for the balance of the tax year in which the property was purchased. But, Florida law provides that the property must be reassessed at full market value in the year following the sale.
If there is a change of ownership or control not recorded on a deed, does it trigger a reassessment?
Yes. And per Florida Statute 193.1556, any person or entity owning property under the 10% cap provision MUST notify the property appraiser promptly of any change of ownership or control. Failure to do so may subject the property owner to a lien of back taxes plus interest of 15% per annum and a penalty of 50% of the taxes avoided.