Florida reassesses a home to market value on January 1 of the year after it sells. If the seller had a homestead exemption and the Save Our Homes cap, those end with the sale, so your bill can be much higher than the seller's. Use the county's tax estimator, not the seller's bill.
Save Our Homes caps yearly increases in the assessed value of a homestead at 3% or the change in the consumer price index, whichever is less. The cap belongs to the owner. When ownership changes, the cap and the seller's exemptions end, and the property is assessed at just (market) value the following January 1.
That means a long term owner may have been paying taxes on a value far below market. Your first tax bill after purchase can arrive months after closing and reflect the full market value, and any new exemption you qualify for is applied after you file.
Florida law also requires the seller to give the buyer a property tax disclosure summary that warns of this reassessment. Lenders and escrow accounts use the new, higher number once it is known, which can change your payment when escrow is reviewed again.
Example: seller's capped value versus your market value
| Seller's capped taxable value | Market based taxable value | |
|---|---|---|
| Taxable value | $250,000 | $450,000 |
| Tax at 15 mills | $3,750 a year | $6,750 a year |
| Difference | $3,000 a year, or $250 a month |
Made up figures before any exemptions you qualify for.
What to do
- Find the parcel on the county property appraiser's site and open its tax estimator.
- Estimate taxes using the likely market value and the current millage, then add non ad valorem assessments.
- Put the estimate in your payment budget and in your DTI or DSCR calculation.
- File your own homestead exemption after closing if the home is your residence.
General information, not legal or tax advice. Confirm with your title company or attorney.
Sources
- Florida Department of Revenue, Save Our Homes Assessment Limitation (PT-112). Change of ownership resets the assessment to just value on the following January 1. Source type: Official. Checked October 17, 2026.
- Seminole County Property Appraiser, New Homeowner Information. Reassessment the year after purchase; disclosure under s. 689.261. Source type: Official. Checked October 17, 2026.
- Pinellas County Property Appraiser, Save Our Homes. A change in ownership resets the capped value to market value. Source type: Official. Checked October 17, 2026.