Buying or selling? Call (904) 351-6461
Glossary · Property Tax

Non-Homestead Assessment Cap

The 10% cap on second homes and investment property, with two carve-outs owners forget.

← All glossary terms
Quick definition
Florida caps annual assessed-value growth on non-homestead real property — second homes, rentals, commercial — at 10% per year. Two carve-outs matter: the cap does not apply to school-district millage (that slice is taxed on full just value), and the cap resets when the property sells or when ownership/control changes as defined by statute.

Who it protects

Any Florida real property without a homestead exemption gets the 10% cap automatically — snowbird second homes, long-term rentals, commercial parcels. In fast markets it produces real savings, though far less than the homestead 3% cap; in flat markets it rarely binds.

The school-tax carve-out

The cap applies to county, municipal, and most district millages, but not to school levies. A capped property therefore has two taxable bases: capped assessed value for most of the bill, full just value for the school slice. TRIM notices show the split.

Reset events

A sale resets the cap base to market value, as does a qualifying change of ownership or control (defined by statute for entity-owned property) and, for the added value, improvements. Investors comparing Florida markets should model post-reset bills — our county property-tax pages carry the verified millages.

Common questions.

Does my rental property get any assessment cap in Florida?
Yes — 10% per year on assessed value, automatically, except for the school-levy portion, which is taxed on full just value.
Is the 10% cap portable like Save Our Homes?
No. Portability is a homestead mechanism. The non-homestead cap simply resets at sale with no transfer of benefit.
Do improvements break the cap?
The value added by improvements is assessed at market and added to the base; the cap continues on the combined amount going forward.
Related terms

Have a question about a Florida real estate transaction?

Talk to Jon or Brittany directly. We'll answer specific questions or connect you with the right Momentum agent.

Talk to founders →