Florida homeowners could see thousands of dollars in annual savings under Governor Ron DeSantis’ proposal to dramatically expand the state’s homestead exemption — but local governments warn the plan could gut their budgets.
An analysis by the Broward County Property Appraiser found that the initial exemption increase could save the average Broward homeowner roughly $4,100 per year. Nearly 189,000 county homeowners would pay no property taxes at all. If the exemption eventually rises to $500,000, savings could reach $9,000 annually.
But the tradeoff is steep. Cooper City, a predominantly residential community, could lose about 34% of its property tax revenue. Smaller mixed-use cities would fare better, but officials across the board are sounding alarms about funding for roads, schools, parks, and emergency services.
DeSantis says the plan includes protections for essential services and that transition grants could help offset local losses. The proposal still requires a three-fifths vote in both legislative chambers before reaching the November ballot.
