- Florida’s property tax revenue has doubled over the past decade, reaching $55B in FY 2024–2025.
- Lawmakers are debating between completely eliminating or just lowering property taxes to ease growing homeowner burdens.
- Retirees on fixed incomes face rising property tax and insurance costs, threatening affordability.
- A full property tax repeal could lead to sharp cuts in public services or require a significant sales tax hike to compensate.
- Depending on how conversations go, the issue could go before voters in 2026 as a constitutional amendment.
Florida lawmakers are weighing eliminating property taxes as home prices soar, but funding gaps and economic risks make the move highly contentious, per WSJ.
Property Tax Debate
While a full repeal of property taxes remains unlikely in the short term, dozens of bills are proposing serious cuts or adjustments, highlighting growing homeowner concerns over rising housing costs.
Governor Ron DeSantis urged lawmakers to provide relief, acknowledging that “people are getting crushed” by property taxes and home insurance.
Some lawmakers have suggested funding shortfalls could be addressed by cutting government waste, while others warn eliminating property taxes would force deep cuts to schools, police, and municipal services.
Retirees, Fixed-Income Homeowners
Home values in Florida have surged, with median prices quadrupling in Miami and tripling in Orlando and Tampa since 2012, per Redfin.
At the same time, property taxes climbed sharply, especially for new buyers facing reassessments. For retirees on fixed incomes, this has led to mounting financial pressure.
Homeowner Zoe Tosteson Losada, 69, saw her property tax bill jump from $6K to $10.7K in just a couple of years after purchasing her home in Palm Beach Gardens in 2022. Combined with soaring insurance costs, she now questions whether she can afford to stay in her home.
“This wasn’t part of my retirement plan,” she said. “We’re losing money every day.”
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Economic Trade-Offs
Property taxes account for 50–60% of school district revenue and nearly 20% of municipal and county funding, according to the Florida Policy Institute.
Unsurprisingly, a full repeal would leave a massive hole in public budgets, forcing either steep service cuts or alternative revenue sources.
A report from the Institute estimates that replacing property tax revenue would require at least doubling Florida’s sales tax to 12%, a move that could disproportionately impact lower-income residents and tourists.
Miami-Dade County Mayor Daniella Levine Cava warned in a memo that eliminating property taxes would create a $3B budget shortfall, leading to “extremely drastic public safety cuts.”
Looking Ahead
DeSantis aims to put the issue before voters in 2026, but passage would require 60% support. Lawmakers remain divided, with some proposing targeted relief for seniors instead of full repeal.
With rising home values, insurance premiums, and tax burdens, Florida’s property tax debate is likely to remain a hot-button issue into the next election cycle. Whether voters are willing to trade stable government revenue for tax relief remains to be seen.
