Quick Summary
- Average effective property tax rate: 0.74% of a home’s value for owner-occupied properties.
- State and local property tax collections per capita are $1686.
- Local tax in Florida accounts for 30% of local revenue and 17% of state and local revenue.
- More than 640 local governments in Florida collect property taxes.
Florida property taxes can be confusing, especially for first-time home buyers. In Florida, property taxes are assessed and collected on all real and tangible property that is within the state. So, why do you have to pay property taxes in Florida? And, how do Florida property taxes work? Fundamentally, they are considered a critical funding source for local services and infrastructure. Those include –
- Roads
- Schools
- Emergency Services
These taxes are calculated depending on your property’s assessed value. It is then multiplied by the millage rate decided by various taxing authorities in your area. The table below shows the typical (median) property tax bill with and without a mortgage for most Florida counties.
Note: Homes with mortgages are often newer or recently purchased. It can result in higher assessed values and higher property taxes.
| County | Median Property Tax | With Mortgage | Without Mortgage |
|---|---|---|---|
| Monroe County | $3,943 | $4,291 | $3,585 |
| Broward County | $3,610 | $4,168 | $2,803 |
| Palm Beach County | $3,600 | $3,871 | $3,209 |
| St. Johns County | $3,547 | $3,730 | $3,149 |
| Miami-Dade County | $3,516 | $3,816 | $2,973 |
| Collier County | $3,219 | $3,150 | $3,306 |
| Martin County | $3,120 | $3,560 | $2,752 |
| Sumter County | $2,940 | $3,055 | $2,864 |
| St. Lucie County | $2,893 | $3,063 | $2,626 |
| Manatee County | $2,853 | $3,136 | $2,528 |
| Sarasota County | $2,826 | $2,839 | $2,813 |
| Orange County | $2,795 | $2,950 | $2,393 |
| Hillsborough County | $2,787 | $3,154 | $2,106 |
| Lee County | $2,699 | $2,773 | $2,593 |
| Flagler County | $2,628 | $2,606 | $2,662 |
| Alachua County | $2,623 | $2,821 | $2,319 |
| Charlotte County | $2,581 | $2,706 | $2,449 |
| Nassau County | $2,558 | $2,627 | $2,401 |
| Osceola County | $2,498 | $2,574 | $2,273 |
| Seminole County | $2,493 | $2,671 | $2,086 |
| Pinellas County | $2,324 | $2,657 | $1,837 |
| Leon County | $2,305 | $2,415 | $2,094 |
| Indian River County | $2,288 | $2,233 | $2,351 |
| Lake County | $2,284 | $2,560 | $1,840 |
| Volusia County | $2,179 | $2,378 | $1,875 |
| Duval County | $2,142 | $2,333 | $1,707 |
| Brevard County | $2,139 | $2,290 | $1,915 |
| Clay County | $2,080 | $2,273 | $1,762 |
| Pasco County | $2,028 | $2,513 | $1,363 |
| Okaloosa County | $1,948 | $2,049 | $1,773 |
| Santa Rosa County | $1,809 | $1,980 | $1,461 |
| Polk County | $1,769 | $2,111 | $1,291 |
| Hernando County | $1,732 | $1,919 | $1,435 |
| Walton County | $1,709 | $2,088 | $1,073 |
| Marion County | $1,659 | $1,846 | $1,443 |
| Bay County | $1,653 | $1,845 | $1,368 |
| Franklin County | $1,572 | $1,619 | $1,535 |
| Hendry County | $1,519 | $1,905 | $1,437 |
| Baker County | $1,410 | $1,610 | $1,074 |
| Wakulla County | $1,408 | $1,555 | $1,213 |
| Escambia County | $1,406 | $1,602 | $1,131 |
| Columbia County | $1,385 | $1,676 | $1,191 |
| Hardee County | $1,358 | $1,693 | $1,118 |
| Okeechobee County | $1,349 | $1,599 | $1,145 |
| Jefferson County | $1,348 | $1,437 | $1,287 |
| Gulf County | $1,334 | $1,440 | $1,187 |
| DeSoto County | $1,322 | $1,382 | $1,291 |
| Citrus County | $1,320 | $1,420 | $1,220 |
| Gilchrist County | $1,301 | $1,597 | $1,045 |
| Highlands County | $1,295 | $1,496 | $1,101 |
| Putnam County | $1,196 | $1,410 | $992 |
| Suwannee County | $1,169 | $1,425 | $1,000 |
| Glades County | $1,163 | $1,487 | $1,014 |
| Levy County | $1,110 | $1,221 | $1,007 |
| Liberty County | $1,031 | $1,145 | $718 |
| Bradford County | $1,022 | $1,365 | $680 |
| Union County | $931 | $1,368 | $652 |
| Madison County | $928 | $1,387 | $686 |
| Gadsden County | $854 | $1,193 | $615 |
| Lafayette County | $850 | $1,125 | $665 |
| Hamilton County | $806 | $970 | $657 |
| Washington County | $787 | $1,116 | $596 |
| Calhoun County | $743 | $1,141 | $537 |
| Taylor County | $724 | $1,347 | $533 |
| Dixie County | $715 | $954 | $597 |
| Jackson County | $625 | $824 | $529 |
| Holmes County | $527 | $730 | $420 |
Source: https://www.census.gov/data/tables/time-series/demo/popest/2020s-counties-total.html
What Exemptions Does the Florida Government Provide?
The Florida government provides various exemptions. It can lower your property’s taxable value. The state’s average property tax rate is in line with, or lower than, the national average. The exact amount you’ll pay depends on –
- Where your property is located
- How much is it valued?
How Does It Apply To Your New Home?
Each year on January 1, the county property appraiser determines the value of all real property in the county. In August, each property owner receives a notice named “Notice of Proposed Property Taxes.”
After local governments finalize their budgets, the county tax collector sends out the official tax bills in late October or November. It is essential to pay property taxes by March 31 of the following year.
Homestead Exemption in Florida
Every property has three values used for tax purposes:
- Just value: It is the home’s market value, what it would likely sell for.
- Assessed value: It is the just value after any limits on how much the value can increase.
- Taxable value: It is the assessed value after exemptions are applied. It is the number used to calculate your property taxes.
The homestead exemption can reduce the value of your home that is taxed by up to $50,000, which can lower the amount of property tax you owe.
How the Homestead Exemption Works
The first $25,000 of the homestead exemption applies to all property taxes. It also includes the school taxes. An additional exemption of up to $25,000 applies only to the part of your home’s value between $50,000 and $75,000. This extra exemption does not apply to school taxes.
The second $25,000 exemption is fixed by law each year on January 1. It depends on increases in the Consumer Price Index (CPI), if inflation has risen.
How to Apply for the Homestead Exemption
You can find the Homestead Exemption application (Form DR-501) on your county property appraiser’s website. Then, submit your application directly to your county property appraiser.
Information You’ll Need When Applying
If this is your first time applying, you should be ready to provide:
- The name(s) on the property title as of January 1
- Your Social Security number and your spouse’s or co-applicant’s number
- Whether you or your dependents lived in the home on January 1
- Whether you claim residency in another county or state
Documents That May Be Required to Prove Residency
- Address shown on your most recent IRS tax return
- Bank statement showing your mailing address
- Declaration of domicile and residency date
- Florida driver’s license or ID number
- Florida vehicle license plate number
- Florida voter registration number (in case you are a U.S. citizen)
- Name of your current employer
- Proof of your previous residency outside Florida, and when it ended
- Proof of utility payments for the homestead address
- Proof that you gave up a driver’s license from another state
- School location(s) of dependent children
Save Our Homes (SOH) Assessment Limit
After your property receives a homestead exemption for the first year and is assessed at its market value, the amount used for tax purposes can only go up by a limited amount each year.
Each year after that, the assessed value cannot increase by more than 3% or the rate of inflation (CPI), whichever is lower. The protection is called the Save Our Homes (SOH) assessment limit.
The difference between your home’s market value and its lower assessed value is called your SOH benefit. Even if your home’s market value goes down, the assessed value used for taxes may still increase. However, only within a limited amount. The assessed value will never exceed the home’s market value.
Transferring Your Save Our Homes Benefit (Portability)
If you move from one Florida homestead to another Florida homestead, you may be able to transfer (or “port”) some or all of your SOH benefit to your new home. If you qualify, the transfer can lower the assessed value of your new home. It can reduce your property taxes.
If you want to shift your SOH benefit:
- It is important to claim a homestead exemption on the new home within three years of January 1 after giving up your old homestead.
- You must file the Transfer of Homestead Assessment Difference (Form DR-501T) along with the Homestead Exemption application (Form DR-501).
- The filing deadline for both forms is March 1.
- Submit all needed forms to your county property appraiser.
If your application is denied, you can appeal by filing a petition with the county’s Value Adjustment Board.
What Happens When Ownership Changes
If a homestead property protected by the SOH limit changes ownership. The SOH benefit is removed, and the property will be reassessed at its full market value as of January 1 of the following year.
A change of ownership includes:
- A sale
- A foreclosure
- Any transfer of legal or beneficial ownership
Also, if the homestead exemption is removed or lost for any reason, the property will be reassessed, and the SOH benefit will no longer apply.
Why Your Property Taxes May Be Higher Than the Previous Owner’s
Many first-time Florida homeowners don’t believe it after seeing their higher property tax bill. It is even higher than what the previous owner or even a neighbor paid. When a home is sold, Florida law requires the property appraiser to remove the previous owner’s exemptions. It is done to reset the home’s assessed value to its current market value. The change takes effect on January 1 after you buy the home.
The previous owner’s homestead exemption and Save Our Homes (SOH) benefit stay with the property for the rest of that tax year. So, when you buy a home before the previous owner pays that year’s tax bill, your first bill may still show their lower tax benefits.
If you own the property on January 1 and apply for the homestead exemption by March 1, your tax bill for that year will include the exemption. It lowers the taxable value. However, the SOH benefit does not start until the following year.
Example:
You bought your home in September last year. The previous owner had owned the home for 12 years and qualified for the homestead exemption. Last year –
- The home’s assessed value was $110,000
- The taxable value was $60,000.
On January 1 of the current year, the property was reassessed. The assessed value increased to $130,000. After you applied for the homestead exemption, your taxable value dropped to $80,000. Even with the exemption, your taxes are higher than the previous year.
Next year, the SOH benefit will apply. It limits any increase in the assessed value to no more than 3%, or $3,900 in this case.
Final Thoughts Before You Buy
Before buying a home in Florida, take time to understand how property taxes may affect your budget. You can get helpful tax information from –
- a Florida-licensed real estate agent
- A real estate photographer
- Your mortgage lender
- The county property appraiser’s office, where the home is located.
Many county property appraiser websites also offer tools to estimate property taxes based on the home’s location. Knowing how your home will be taxed and how those taxes could increase over time can help you plan better and avoid surprises after you buy.
Frequently Asked Questions
How Do Property Taxes Work in Florida?
In Florida, property taxes are handled at the county level. These depend on your home’s assessed value. Each year, county property appraisers determine a home’s market value as of January 1. On average, property taxes are about 0.74% of a home’s assessed value. However, the exact amount can vary a lot depending on the county and location.
How Can You Lower Your Property Taxes in Florida?
Yes. Florida offers several property tax exemptions that can reduce the value of your taxed home. The most common one is the homestead exemption. If you want to receive an exemption, you must apply by March 1 of the year you are requesting it.
Can You Negotiate Property Taxes?
Yes. You have the right to meet with your county property appraiser to discuss your home’s value or any exemptions you applied for. Often, issues can be resolved through an informal meeting without a hearing or court.
Do Seniors Pay Property Taxes in Florida?
Some homeowners age 65 or older may qualify for additional property tax savings. However, it depends on income limits. To qualify:
- You must be 65 or older on January 1
- You must have the Florida homestead exemption
- Your household income must be below the limit set by law