On November 3, 2026, Floridians voted in favour of Amendment 3, major property-tax reform legislation that will take effect January 1, 2027, and could have property tax implications for Canadians who own property in the state of Florida.

Amendment 3 will provide qualifying individuals who own a primary residence in Florida with a larger primary residence homestead exemption for non-school property taxes than they currently receive. 

This means that Florida homesteaders will have their property values assessed at lower amounts than non-residents when determining how much non-school property tax they need to pay - and therefore pay less property tax.

The concern for Canadian snowbird property owners - as well as other non-residents who own property in Florida - who are not eligible for this exemption, is that local governments in Florida will be looking for ways to make up the shortfall in property tax revenues when these larger exemptions for homesteaders go into effect starting in 2027, and may raise property and other taxes. 

However, there is also some potentially good news for Canadians who own a winter home or vacation property in Florida, as the legislation also reduces the maximum amount property value assessments can increase, from 10% down to 5% per year.

What does the legislation say?

The legislation introduces two major changes that Canadian snowbirds should be aware of: 

1. Larger Homestead Exemptions for Florida Residents: The legislation increases the homestead exemption for non-school property taxes when assessing property values for tax purposes as follows:

   2026 (current):       $50,0000

   2027:                       $150,000

   2028:                       $250,000

   2029 onward:          Adjusted for inflation

2. Reduction in Maximum Annual Property Value Assessment Increases: The legislation reduces the annual assessment cap on second homes and investment properties.

   This is particularly important for Canadian snowbird owners. Previously, non-homestead properties could have assessed property values increase by up to 10% annually.

   Starting in 2027, that maximum annual increase will be reduced to 5%, which includes vacation homes, rental properties and investment properties.

You can read more about the Amendment 3 legislation here. 

Could Canadian homeowners actually pay more property tax?

Despite the lower property value assessment cap, Canadian snowbirds could eventually find themselves paying higher property or other taxes, as local Florida governments depend heavily on property-tax revenue and the new amendment could substantially reduce that revenue as a result of homesteaders paying less property tax.

This may lead to local Florida governments increasing property taxes and/or increasing certain municipal fees and levies, both of which would impact Canadian snowbirds who own property in the state

The bottom line

While the lower cap on annual increases for property taxes is good news, the potential for property and other tax increases for non-resident property owners is a concern.

Accordingly, Canadian snowbirds who own property in Florida should keep a close eye on how their local governments respond to this new legislation, and how these responses might impact their property taxes and other municipal fees and levies in the future.