If you buy a home in Tampa and live in it as your permanent residence, the Florida homestead exemption can lower your property tax bill every year. It also brings a cap on how quickly the home’s assessed value can rise. Newcomers often miss it, or apply late, because the rules are tied to specific dates. This guide explains how it works and how to apply in Hillsborough County. It is general information, not tax advice.
Key takeaways
- The exemption can reduce the assessed value of your permanent home by up to $50,000.
- You must own and live in the home as your permanent residence on January 1, and file by March 1.
- Once you have the exemption, the Save Our Homes rule limits yearly increases in assessed value.
How the exemption works
According to the Hillsborough County Property Appraiser and the Florida Department of Revenue, the homestead exemption can take up to $50,000 off the assessed value of your permanent residence. The first $25,000 applies to all property taxes, including school taxes. A second exemption of up to $25,000 applies to assessed value between $50,000 and $75,000 and does not apply to school taxes. For many homes, that means a meaningful reduction every year.
The dates that matter
Eligibility is based on January 1. To receive the exemption for a given tax year, you must own the home and make it your permanent residence as of January 1 of that year. The application deadline is March 1. If you buy in, say, August, you would generally apply the following year, by March 1, for that year’s taxes.
The Save Our Homes cap
Once a home has the homestead exemption, the Save Our Homes amendment limits annual increases in its assessed value to 3 percent or the change in the Consumer Price Index, whichever is lower. Over time, this can keep the taxable value of a long-held home well below its market value. When the home is sold, the new owner generally starts over with a new assessment.
Homestead at a glance
| Detail | |
|---|---|
| Who qualifies | Owners who make the home their permanent residence |
| Key date | Own and live in the home on January 1 |
| Deadline | Apply by March 1 |
| Maximum exemption | Up to $50,000 of assessed value |
| Ongoing benefit | Save Our Homes cap on yearly assessment increases |
| Where to apply | Hillsborough County Property Appraiser |
Tip: Update your driver license, vehicle registration and voter registration to your Tampa address early. The property appraiser commonly asks for proof of Florida residency, and these documents are how you show it.
How to apply in Hillsborough County
Applications are made through the Hillsborough County Property Appraiser, and the office offers online filing. You will usually need details such as your Florida driver license or ID, vehicle registration, voter information if you are registered, and Social Security numbers for owners. Check the property appraiser’s website for the current list of documents and requirements.
Portability
If you already have a Florida homestead and move to a new one, you may be able to transfer some or all of your accumulated Save Our Homes benefit to the new home. This is called portability, and it has its own rules and deadlines. It does not apply to people arriving from other states, but it is worth knowing about for future moves within Florida.
Who this matters to
- Anyone buying a home in Tampa to live in full time.
- Newcomers who bought late in the year and need to apply by the next March 1.
- Owners comparing the true cost of different homes.
After you are approved
Once the exemption is granted, it usually renews automatically each year as long as you still own and live in the home. You must tell the property appraiser if you rent out the home, move out or otherwise stop qualifying. The notice of proposed property taxes, sent each summer, shows your assessed value, exemptions and proposed taxes, and it is worth reading carefully.
Common mistakes
The most common mistake is assuming the exemption is automatic. It is not; you must apply. The second is missing the March 1 deadline in the first year. The third is keeping a residence-based tax benefit in another state while claiming Florida homestead, which can cause problems.
Frequently asked questions
When do I apply for homestead in Florida?
By March 1 of the tax year, based on owning and living in the home on January 1.
Is the homestead exemption automatic?
No. You must file with the county property appraiser. Once granted, it usually renews automatically while you still qualify.
Can renters get a homestead exemption?
No. It applies to owners who make the home their permanent residence.
For the bigger picture of costs, see The Cost of Living in Tampa: What Newcomers Should Budget For. If you are still deciding whether to buy, read Renting vs. Buying When You Move to Tampa.