Florida

How do Florida's homestead exemption and Save Our Homes cap work?

Florida's homestead exemption can reduce the taxable value of your primary residence, and the Save Our Homes provision caps annual assessed-value increases at 3% or the change in CPI, whichever is lower. Long-time owners can also transfer accumulated savings to a new Florida homestead through portability, within limits.

Source: Florida Department of Revenue

Will my property taxes go up when I buy a home in Florida?

Often yes. When a home sells, its assessed value resets to market value for the new owner, so you generally do not inherit the seller's lower Save Our Homes amount. Relocating buyers are frequently surprised when the bill is far higher than the seller's. Estimate your escrow off market value, not the old tax bill.

Your own Save Our Homes cap then starts building from your first assessment as a homesteaded owner.

Source: Florida Department of Revenue

Why is it harder to get a mortgage on a Florida condo now?

After the Surfside collapse, Florida required milestone structural inspections and fully funded reserves for older, taller condo buildings. Buildings with deferred repairs, pending special assessments, or underfunded reserves can become non-warrantable, meaning conventional financing is limited or unavailable. Confirm a building's status early before you fall for a unit.

Lenders increasingly require condo questionnaires and reserve documentation, and a building that is financeable today can change as inspection and funding deadlines pass.

Source: Florida Department of Business and Professional Regulation (condo safety laws)

How does Florida's insurance market affect buying a home?

Homeowners insurance is a major cost in Florida and premiums have risen sharply, with many buyers using Citizens, the state-backed insurer, or private carriers. Coastal homes may need separate wind and flood coverage, and older homes often require inspections to be insurable. Because lenders require coverage, high premiums affect what you can afford.

Source: Florida Office of Insurance Regulation

What are documentary stamp and intangible taxes in Florida?

Florida charges a documentary stamp tax on the deed and on the mortgage note, plus an intangible tax on the mortgage itself. These are real closing costs that catch many buyers off guard, and the deed rate differs in Miami-Dade. They are one-time costs at closing rather than ongoing ones.

Source: Florida Department of Revenue

When do I need a jumbo loan in Florida?

It depends on the price and your county's conforming limit. Monroe County, covering the Keys, qualifies for a higher high-cost limit, while most of Florida uses the baseline. In luxury coastal markets like Naples, Miami, and Palm Beach, prices often exceed the limit, so jumbo financing is common.

Source: Federal Housing Finance Agency (FHFA) Jumbo loans →

What are the most affordable places to buy a home in Florida?

Florida's more affordable markets tend to be inland and in the north, including Jacksonville, parts of Central Florida, and the Panhandle around Pensacola, where price-to-income ratios are gentler than Naples, Miami, and the coast. These areas often pair lower prices with FHA limits and Florida Housing eligibility.

Source: U.S. Census Bureau, American Community Survey

What does it actually cost to own a home in Florida?

Florida has no state income tax, which helps, but your real cost is shaped by homeowners insurance plus possible wind and flood coverage, any HOA or condo dues and special assessments, and property taxes. Insurance and condo costs are where Florida most often surprises buyers, so price them before you offer.

Source: Florida Office of Insurance Regulation

Which Florida markets are best for first-time buyers?

First-time buyers often have the most room in North and inland Florida, where lower prices line up with FHA limits and Florida Housing assistance such as Hometown Heroes. Running the numbers on price, insurance, and property taxes early helps you target a market where the monthly cost actually works.

Source: Florida Housing Finance Corporation Affordability calculator →

Does Florida have a state income tax?

No. Florida has no state income tax, which is a major reason buyers relocate here from higher-tax states. The trade-off is that homeowners insurance and, for many homes, condo or HOA costs run high, so it helps to look at your full cost picture rather than taxes alone.

How do Florida's homestead exemption and Save Our Homes cap work?

The homestead exemption reduces the taxable value of your primary residence, and Save Our Homes caps your annual assessed-value increase at 3% or CPI, whichever is lower. Established owners can also move accumulated savings to a new Florida homestead through portability, within limits set by the state.

Will my property taxes go up when I buy a home in Florida?

Often yes. The assessed value resets to market value for the new owner at sale, so you do not inherit the seller's lower Save Our Homes amount. Many relocating buyers are caught off guard, so estimate your escrow off market value rather than the seller's older, capped tax bill.

Why is it hard to get a mortgage on a Florida condo?

Florida's post-Surfside laws require milestone inspections and fully funded reserves for older, taller buildings. Condos with deferred repairs, special assessments, or underfunded reserves can become non-warrantable, which limits conventional financing. Checking a building's inspection and reserve status early can save you from a deal that cannot close.

How does Florida's insurance market affect buying a home?

Insurance is a large and rising cost in Florida. Many buyers use the state-backed Citizens insurer or private carriers, coastal homes may need wind and flood coverage, and older homes often require inspections to be insurable. Because lenders require coverage, a high premium directly reduces how much home you can afford.

What are documentary stamp taxes in Florida?

Florida charges a documentary stamp tax on the deed and on the mortgage note, plus an intangible tax on the mortgage. These are one-time closing costs, not ongoing ones, and the deed rate is different in Miami-Dade. They surprise many buyers, so it is worth budgeting for them up front.

What is the Florida Hometown Heroes program?

It is a Florida Housing down payment and closing-cost assistance program for eligible members of the state workforce. It has been popular and, at times, funding-limited, so current availability and eligibility should be confirmed directly with Florida Housing before you count on it for your purchase.

When do I need a jumbo loan in Florida?

It depends on the price and your county's conforming limit. Monroe County in the Keys has a higher high-cost limit, while most of Florida uses the baseline. In luxury coastal markets like Naples, Miami, and Palm Beach, prices frequently exceed the limit, so jumbo financing is common there.

What credit score do I need to buy a house in Florida?

It depends on the program. Conventional loans typically expect higher scores, while FHA may allow lower scores with other compensating factors. There is no single statewide number, and your full financial profile matters. Reviewing your specific situation is more useful than relying on a general threshold.

What are the most affordable places to buy a home in Florida?

North and inland Florida generally offer the most room, including Jacksonville, parts of Central Florida, and the Panhandle around Pensacola, with gentler price-to-income ratios than Naples, Miami, and the coast. These markets often line up well with FHA limits and Florida Housing assistance eligibility.