Florida Homestead Exemption & Amendment 3: What Manatee and Sarasota Homeowners Should Know

If you own the Florida home you live in, the homestead exemption is one of the most valuable things you can file for, and it costs nothing. On November 3, 2026, Florida voters will also decide Amendment 3, which would change how much of a homestead's value is exempt from non-school property taxes.

This guide covers how the exemption works today in Manatee and Sarasota counties (including Lakewood Ranch, Bradenton, Sarasota, Parrish and Palmetto), how to file by March 1, and what Amendment 3 proposes, in neutral, plain language. The outcome of the vote isn't known yet, so plan around today's rules.

How the Homestead Exemption Works Today

If you own a home and make it your permanent residence, the homestead exemption can reduce its taxable value by up to $50,000 (Florida Department of Revenue, PT-113, rev. Aug 2025):

• The first $25,000 of assessed value is exempt from all property taxes, including school taxes.

• The next $25,000 of value is taxable.

• An additional $25,000 (on assessed value above $50,000) is exempt from non-school taxes only. Since 2025, this amount is adjusted each year for inflation when the CPI rises.

For most homes, that means about $25,000 off for school taxes and about $50,000 off for county, city and other non-school levies. Separate exemptions exist for qualifying seniors, veterans, widows and widowers, first responders and people with disabilities. Ask your property appraiser which apply to you.

Save Our Homes: The 3% Cap

Once a home has a homestead exemption, the Save Our Homes limit kicks in. After the first year, its assessed value can rise by no more than 3% or the change in the Consumer Price Index, whichever is less, even if market value climbs faster (Florida DOR, PT-112, rev. Aug 2024). Over time, the gap between market value and assessed value can grow large.

Two things buyers should know:

• The cap doesn't transfer with the house. After a sale, the home is reassessed at market value the following January 1 (PT-112). The seller's tax bill is not a preview of yours.

• If you buy a home that already has a homestead exemption, you keep the seller's exemption only for that tax year. You still have to apply in your own name by March 1 of the next year (Manatee County Property Appraiser).

Portability: Moving Within Florida

Already have a Florida homestead? Portability lets you transfer all or part of your Save Our Homes benefit to a new Florida homestead, up to $500,000. If your new home's market value is equal to or higher than the old one, you can bring the full benefit (up to the limit). If you downsize, a proportional share transfers (Manatee County Property Appraiser; Sarasota County Property Appraiser).

You must establish the new homestead within three tax years of January 1 of the year you gave up the old one, and file Form DR-501T with your homestead application by March 1 (PT-112). Selling a Florida homestead to buy another? Factor portability into your budget before you shop.

How to File in Manatee and Sarasota (by March 1)

You qualify for a tax year if you own the home and live in it as your permanent residence on January 1, and you must apply by March 1 of that year (PT-113). Close and move in during 2026, and you'd file by March 1, 2027 for the 2027 tax year.

Where to file: with the property appraiser in the county where the home sits. Lakewood Ranch spans both counties, so check the county on the tax record first.

• Manatee County: file online through the Property Appraiser's E-File page, or call the Exemptions Department at 941-748-8208.

• Sarasota County: homestead overview and apply online.

What to have ready (requirements vary slightly by county) (Sarasota County Property Appraiser; Manatee County Property Appraiser):

• Your deed or tax bill (the home must be in your name).

• A Florida driver license or ID showing the home's address.

• Florida vehicle registration, Florida voter registration or a recorded declaration of domicile.

• Social Security numbers for all applicants, and for your spouse.

• If you're not a U.S. citizen, your permanent resident card. Citizenship itself isn't required (Manatee County Property Appraiser).

• If you still own a previous home, proof that any residency-based exemption there was canceled.

Common ways to lose it: renting the home out (Manatee treats renting it on January 1 as abandonment), or no longer living there as your permanent home (PT-113; Manatee County Property Appraiser).

What Amendment 3 Proposes

Amendment 3 is a legislatively referred constitutional amendment on the November 3, 2026 ballot. It needs at least 60% of the vote to pass and, if approved, takes effect January 1, 2027 (Florida Division of Elections; official amendment booklet, updated Sep 3, 2026). Its official ballot title is "Increased Homestead Exemption; Lower Cap on Increases in Non-Homestead Property Assessments." That title and the summary were rewritten in August 2026 after a Leon County judge ordered changes to the original wording, and the measure stayed on the ballot (ABC Action News / Tampa Bay 28, Aug 14, 2026).

According to the official ballot summary, Amendment 3 would:

• Raise the homestead exemption for non-school taxes to $150,000 in 2027 and $250,000 in 2028, then adjust it for inflation.

• Leave school taxes unchanged: the school exemption stays at $25,000.

• Phase in the increase for new residents. People who are not Florida residents on December 31, 2026 would get the existing exemption first, with the increased exemption starting in their fifth year of exemption, "to the extent permitted by the U.S. Constitution."

• Cut the annual assessment cap on non-homestead property (rentals, second homes, commercial) from 10% to 5%.

• Let local governments go further. The Legislature would set a uniform process for counties and cities to raise the exemption, for their own levies, up to full assessed value. Special districts could do the same with voter approval.

• Limit how counties and cities spend property taxes to listed purposes such as public safety, schools, infrastructure, natural resources, debt service, employee retirement and operations.

The Manatee County Property Appraiser adds that if it passes, changes would first appear on 2027 tax bills (November 2027), and that Save Our Homes, portability and existing personal exemptions stay the same (Manatee County Property Appraiser, Amendment 3). For a deeper look at the legislation itself, see my earlier post on HJR 1-F.

A simple illustration (non-school taxes only; your numbers will differ): a homestead assessed at $300,000 has roughly $250,000 of non-school taxable value today. If Amendment 3 passed, that would fall to about $150,000 in 2027 and about $50,000 in 2028. School taxes would still apply to $275,000. Your actual bill depends on your assessed value and local millage rates.

What It Means for You (Whatever Happens Nov. 3)

• Homeowners: Make sure your homestead exemption is on file and current. It's the starting point under either set of rules.

• Buyers relocating to Florida: File by March 1 after you close and move in. If the amendment passes, your Florida residency date relative to December 31, 2026 would matter. Talk to a tax professional before you make timing decisions.

• Buyers already in Florida: Ask about portability before you set your budget.

• Investors and second-home owners: Today's 10% non-homestead cap applies, and a purchase resets assessed value either way. Budget taxes on the purchase price, not the seller's bill. For current prices and rates, see the latest Market Pulse.

• Sellers: Expect buyers to ask. Pointing them to the official sources above builds trust.

Comparing neighborhoods? Ownership costs vary widely across Lakewood Ranch neighborhoods, especially where CDD assessments appear on the tax bill. If lower carrying costs are a priority, see homes with low HOA and no CDD. New to the area? My free Relocation Guide walks through taxes, insurance and the move itself, and Moving to Lakewood Ranch and How to Buy a House in Florida cover the rest of the process.

Why Work With Luis

I'm Luis Odon, a REALTOR® with Keller Williams Coastal Living II, serving buyers, sellers and investors across Lakewood Ranch, Bradenton, Sarasota, Parrish and Palmetto. I can pull the current tax bill, CDD details and county record for any home you're considering, so your budget starts with real numbers. Se habla español.

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Luis Odon, REALTOR® · Keller Williams Coastal Living II · (941) 993-8311 · LuisfjosRealtor@gmail.com

This article is general information, not tax or legal advice. Confirm your eligibility, deadlines and figures with your county property appraiser (Manatee or Sarasota) and a qualified tax professional. Amendment 3 is a proposal and is not law unless approved by voters; this post will be updated after the November 3, 2026 election. Information current as of October 9, 2026. Equal Housing Opportunity.

Market Pulse, October 2026: Rates Top 7% as Local Inventory Keeps Shrinking

Data current as of October 8, 2026, 7:30 a.m. ET. Local sales data: August 2026 (latest released). Listing data: September 2026.

Welcome to the first edition of Market Pulse, our regular read on the numbers that move Manatee and Sarasota real estate.

Key takeaways

• Rates jumped. The 30-year fixed averaged 7.28% for the week of Oct 1, up from 7.03% a week earlier and 6.34% a year ago (Freddie Mac PMMS, released Oct 1, 2026).

• Prices held steady. August single-family medians were $495,000 in Manatee (+5.9% YoY) and $470,000 in Sarasota (−1.1%) (RASM, Aug 2026 data, released Sep 16, 2026).

• Supply tightened. Single-family active listings fell 7.0% in Manatee (2,616) and 20.8% in Sarasota (2,619) YoY. Months of supply: 3.9 and 3.7 (RASM, Aug 2026).

• Homes sold faster. Median time to contract was 45 days in Manatee (53 a year ago) and 47 in Sarasota (69). Sellers got a median 95.6% and 94.7% of original list price (RASM, Aug 2026).

• September listings agree. In the North Port-Bradenton-Sarasota metro, active listings were 6,905 (−14.5% YoY), the median list price $457,450 (−3.7%), and 18.1% of listings had a price cut (Realtor.com Research, Sep 2026 data, updated Oct 1, 2026).

Also on the radar

• Jobs and the Fed. Employers added just 29,000 jobs in September and unemployment rose to 4.2% (BLS, Oct 2, 2026). In minutes of the Fed's September hike (to 3.75%–4%), a few officials flagged housing, “with mortgage rates remaining at elevated levels” (Federal Reserve, Oct 7, 2026). The next decision is Oct 28 (FOMC calendar).

• Hurricane Isaias is aimed at the northern Gulf Coast. As of today's 5 a.m. ET advisory, no watches or warnings covered Manatee or Sarasota (NHC, Oct 8, 2026), but new-policy binding is suspended in eight Panhandle counties (Orchid Insurance, Oct 8, 2026).

• Amendment 3 (Nov 3 vote, 60% needed) would raise the non-school homestead exemption to $150,000 in 2027 and $250,000 in 2028, and cut the non-homestead assessment cap from 10% to 5% (Manatee County Property Appraiser). Sarasota County projects $134 million less tax revenue over two years if it passes (Suncoast Searchlight, Oct 2, 2026). Read our explainer.

What it means for buyers

On a $400,000 30-year loan, principal and interest at 7.28% is about $2,737/month, versus about $2,486 at 6.34%: roughly $250 more (our math; excludes taxes and insurance). With supply under four months, waiting for a softer market isn't a sure bet. Condos offer more room: 5.2 months of supply in Sarasota, 4.9 in Manatee (RASM). Under contract? Bind insurance early. OIR's average homeowners premium with wind is $3,181 in Manatee and $3,457 in Sarasota (data as of Mar 31, 2026; OIR, Jul 1, 2026), and insurers' homeowners rate requests averaged −4.8% over 30 days (OIR, Sep 22, 2026).

What it means for sellers

Versus last year, sellers get more of their list price, faster. But at about 95% of original list, most homes still sell below their first price. Price right on day one, and consider a rate-buydown credit before a big price cut. See what your home could sell for.

What it means for investors

Higher rates squeeze cash flow, so underwrite with real rent comps and a downside case. HUD's FY2027 Fair Market Rent for a metro 2-bedroom is $2,188/month, effective Oct 1, 2026 (HUD, Sep 2026): a benchmark, not a rent promise. If Amendment 3 passes, the 5% cap would cover rentals and second homes from Jan 1, 2027. Share your investment criteria.

Coming next: September local stats arrive Fri, Oct 16 (RASM market statistics).

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Luis Odon, REALTOR® · Keller Williams Coastal Living II · (941) 993-8311 · LuisfjosRealtor@gmail.com · Se habla español.

Figures are preliminary and subject to revision. County and metro data are not neighborhood-specific. General information, not financial, tax, legal or insurance advice; no return is guaranteed. Equal Housing Opportunity.