Florida Save Our Homes and Homestead Exemption

The short version for Florida homeowners

What the Florida homestead exemption does

The Florida homestead exemption is for a home that is used as a permanent residence. The official rule is based on ownership, permanent residence, and the property’s status as of January 1.

Florida law says a person who has legal title or beneficial title in equity to Florida real property on January 1, and who in good faith makes the property the person’s permanent residence, or the permanent residence of a legally or naturally dependent person, may be entitled to the homestead exemption. You can read the official wording in Florida Statutes section 196.031.

The Florida Department of Revenue describes the homestead exemption as a benefit that may decrease the taxable value of a qualifying property. Its taxpayer page says the homestead exemption qualifies the home for the Save Our Homes assessment limitation. The Department also explains that the exemption itself is not transferable, but a homeowner may be able to transfer, or “port,” all or part of the assessment difference to a new Florida homestead. See the Department’s official homestead and Save Our Homes overview.

Florida’s homestead exemption is often described as up to $50,000 of assessed value. The first part applies broadly, including school district taxes. The second part applies to levies other than school district levies. Florida’s constitution and statute now include an inflation adjustment for the additional homestead exemption amount, so check your county’s current figure before relying on an old summary.

What Save Our Homes does

Save Our Homes limits annual increases in the assessed value of property that already receives the Florida homestead exemption. It is found in Florida Statutes section 193.155.

After a property qualifies, Florida law generally limits the annual change in assessed value to the lower of 3 percent or the percentage change in the Consumer Price Index described in the statute. If the property’s just value is lower than the capped assessed value, the assessed value is lowered to just value.

This is why two nearby homes can have very different taxable values. A longtime homestead owner may have an assessed value that is much lower than market value. A recent buyer may see a reset to just value before the cap begins, unless a portability transfer applies.

Three values Florida homeowners should understand

Florida homestead questions often become confusing because the same property can have more than one value on county records.

The words on your county website may vary slightly. Many county property appraisers show market or just value, assessed value, exemptions, and taxable value on the parcel record or TRIM notice.

When Save Our Homes starts

Save Our Homes is tied to the homestead exemption. A new Florida homestead is generally assessed at just value in the year it first receives the homestead exemption, unless the portability rules apply. After that, annual assessed value increases are limited under the Save Our Homes rule.

This timing matters for new buyers. Buying a home that already has a low assessed value from a prior owner does not mean you keep that owner’s cap. A sale or other change of ownership can cause the property to be reassessed. Then your own homestead exemption and Save Our Homes cap may begin if you qualify and apply.

Who may qualify for Florida homestead exemption

Florida homestead exemption is not based only on owning a house. The property must be your permanent residence, or the permanent residence of someone legally or naturally dependent on you, under the official rule.

The common eligibility questions are:

• Did you own the property on January 1?
• Was it your permanent residence on January 1?
• Are you claiming a residency-based exemption or credit in another state?
• Can the property appraiser verify your ownership interest?
• Have you moved, divorced, changed title, inherited the property, rented it, or put it in a trust?

Florida law says a person receiving or claiming an ad valorem tax exemption or tax credit in another state where permanent residency is required is not entitled to the Florida homestead exemption, with a narrow exception for a Florida owner maintaining the permanent residence of a legally or naturally dependent person. If you have ties to more than one state, expect the property appraiser to ask questions.

Where to apply

Apply with the county property appraiser where the Florida home is located. The state does not process your homestead application for you.

The Florida Department of Revenue maintains a county property appraiser lookup. That page explains that property appraisers value property each year as of January 1 and review exemptions, assessment limitations, and classifications that may reduce taxable value.

Forms used for homestead and Save Our Homes portability

The main Florida homestead application is commonly referred to as Form DR-501, Original Application for Homestead and Related Tax Exemptions. If you are trying to transfer a Save Our Homes assessment difference from a prior Florida homestead, the transfer form is commonly referred to as Form DR-501T.

The Florida Department of Revenue says the property tax forms page provides commonly requested property tax forms for downloading. Your county property appraiser may also provide an online application or county-specific instructions.

For a move from one Florida homestead to another, the Department’s official FAQ says you must file Form DR-501T with the homestead application Form DR-501 for the new home, and that the due date is March 1 of the first year after you moved. See the official Florida portability FAQ.

What portability means

Portability lets an eligible homeowner transfer some or all of the Save Our Homes assessment difference from a prior Florida homestead to a new Florida homestead. The assessment difference is the gap between the prior homestead’s just value and assessed value.

Florida law allows a transfer when the person establishing a new homestead received a homestead exemption as of January 1 of one of the three immediately preceding years. The reduction is limited under the statutory formulas, and the total transferable reduction can be no more than $500,000.

Portability does not move the old exemption itself. The old homestead exemption is not transferable. Instead, a qualifying owner may transfer a Save Our Homes assessment difference to the new homestead.

If you buy a more expensive Florida home

If the new homestead’s just value is greater than or equal to the prior homestead’s just value, the statute generally allows a reduction equal to the lesser of $500,000 or the difference between the prior homestead’s just value and assessed value.

If you buy a less expensive Florida home

If the new homestead’s just value is lower than the prior homestead’s just value, the statute uses a proportional formula. This is one reason portability estimates can be hard to do by hand. Ask the property appraiser to explain the calculation if the number looks wrong.

If co-owners split or combine homesteads

Portability can become more complex when two owners leave a jointly owned homestead, spouses separate, one owner buys a new home, or two people with separate prior homesteads buy one new home together. Florida statute has special rules for these situations. Do not assume that each person automatically gets the whole prior assessment difference.

Common documents and facts you may need

Each county can give its own application instructions, but Florida homestead applications commonly ask for information that helps show ownership and permanent Florida residence.

If your home is in a trust, life estate, estate, or inherited situation, contact the property appraiser before the deadline. The answer may depend on the exact title language and who has the legal or beneficial right to occupy the home.

What can go wrong

Most problems fall into a few patterns. A homeowner files late. A deed is not recorded. The county records still show a mailing address outside Florida. A prior owner’s tax bill created the wrong expectation. A trust or probate issue makes ownership unclear. A spouse or co-owner has a conflicting residency claim. Or the homeowner moved from another Florida homestead but did not file the portability form.

Save Our Homes can also be affected by changes to the property. Florida law has rules for changes, additions, improvements, property damaged by misfortune or calamity, and changes of ownership. A remodel, addition, partial transfer, divorce, death, or title change may require closer review.

If you missed the March 1 deadline

Florida law gives a limited late-filing path, but it is not open-ended. Under Florida Statutes section 196.011, a qualified applicant who misses March 1 must file with the property appraiser on or before the 25th day after the mailing of the notice required under section 194.011(1). The applicant must provide sufficient evidence showing inability to apply on time or other extenuating circumstances judged by the property appraiser.

If the property appraiser does not grant the late exemption, the statute allows a petition to the value adjustment board, also within the stated timing. The law states that a nonrefundable $15 fee applies to that late-file petition.

For portability, section 193.155 has its own late-filing language. A person who is qualified for portability and misses March 1 may file an application and may file a petition with the value adjustment board by the statutory deadline. The statute also says that if a qualified person fails to timely file in the first year following eligibility, the person may file in a later year, but the assessment reduction applies in the year first approved and refunds are not made for previous years.

If your homestead or portability is denied

A denial is not the same as a final court judgment. But it does require prompt attention.

The Florida Department of Revenue explains that the Value Adjustment Board hears appeals involving denied exemptions, portability decisions, change of ownership or control, and property value assessments. VAB petitions are filed with the VAB clerk in the county where the property is located.

If you receive a denial, read the reason carefully. A missing document problem is different from a permanent residence problem. A title problem is different from a portability calculation problem. Call or visit the property appraiser first if the denial may be based on missing or misunderstood information.

Special situations that deserve extra care

You recently bought the home

Do not use the seller’s tax amount as your estimate. A sale can reset assessed value. Apply for your own homestead exemption if you meet the rules.

You moved from another Florida homestead

Ask about portability right away. You may need both the homestead application and the transfer form.

You inherited the home

Inheritance does not automatically prove homestead eligibility. The property appraiser may need to confirm title, beneficial ownership, permanent residence, and whether the prior owner’s status continues or ends.

You changed title or put the home in a trust

A title change can create a change-of-ownership question. Some transfers are exceptions under Florida law, but the details matter.

You are separated, divorced, widowed, or adding a co-owner

Do not assume the exemption or Save Our Homes cap will continue exactly as before. Ask how your exact change will be treated.

The home was damaged by a storm or other calamity

Florida law has special homestead rules for damaged or destroyed property and rebuilding. Tell the property appraiser what happened and ask what notice is required.

Do not confuse this with bankruptcy homestead protection

Florida also has a constitutional homestead protection that can matter in creditor, judgment, estate, and bankruptcy discussions. That is a different subject from the property-tax homestead exemption and the Save Our Homes assessment limitation.

This article is about Florida’s property-tax homestead exemption, Save Our Homes, and portability. If your question is about creditor protection, forced sale, bankruptcy, probate limits, or how a homestead can be devised at death, start with Article X, Section 4 of the Florida Constitution and consider getting legal advice.

Where to verify your Florida homestead answer

These offices do different things. Starting with the wrong office can cost time during a deadline period.

Official sources used for this guide

Independent editorial note

This guide was prepared by HomesteadExemption.org using official Florida Department of Revenue, Florida Legislature, Florida Senate, and county-office guidance where available. It is written for general homeowner education only. Florida homestead and Save Our Homes rules can change, and county facts can change the answer. Confirm your deadline, form, ownership issue, and application status with the official county property appraiser or VAB clerk before acting.