Florida's Amendment 3 would cut in half the cap on how fast non-homestead property values can rise on the tax rolls, a change that could ripple through Aventura's condo-heavy market.

The ballot measure, up for a vote on Tuesday, Nov. 3, would lower the annual assessed-value increase cap on non-homestead properties from 10% to 5%, according to the Miami Herald. Second homes, rental units, investor-owned condos and commercial properties all fall under that cap.

Miami-Dade Property Appraiser Tomás Regalado told the Herald the change would affect between 300,000 and 400,000 properties countywide. He estimated it would lead to a $50 million reduction in property taxes in Miami-Dade, though he said he could not predict how much individual owners would save.

Why Aventura stands out

The measure matters here because so little of the local tax base comes from primary residences. In fiscal year 2025-2026, Aventura levied $24.5 million in property taxes. Only 23.5% of that came from homesteaded residences, according to Florida Department of Revenue data compiled by the Biscayne Times.

Sunny Isles Beach collected $32.7 million in property taxes that year, with an even smaller homestead share of 16.1%. Golden Beach levied $16.3 million, with 41.6% from homesteaded properties.

Non-homestead properties account for nearly $443 billion, or 73%, of total assessed property value across Miami-Dade, the Herald reported.

The trade-off

For owners who hold onto their property, the tighter cap could mean real savings over time. If a property's market value grows faster than 5% a year, the owner would pay taxes on an assessed value well below what the property could sell for, the Herald reported. That benefit compounds over years of sustained growth.

The savings disappear at sale. When a property changes hands, its assessed value resets to current market value, and the new owner's 5% cap starts from scratch.

The cap also would not help owners whose assessed values are already climbing at less than 5% a year. Lynda Harris, a small-scale affordable housing developer who owns property in Brownsville and North Miami, told the Herald that her properties' assessed values have been rising below that threshold as the market has cooled.

Revenue hole worries local leaders

Amendment 3 also raises the homestead exemption, shielding the first $150,000 of a primary home's assessed value starting in 2027 and $250,000 in 2028. Together with the non-homestead cap, the changes would cost local governments statewide an estimated $8.7 billion in revenue by 2028, according to state estimates cited by the Herald.

Nicole Fox, a tax policy analyst with the Tax Foundation, a nonpartisan Washington-based research group, told the Herald that local governments face a set of choices: cut services, raise fees or increase property tax rates. She said many could do some combination of all three.

The Florida Constitution caps county and municipal operating tax rates at $10 per $1,000 of taxable value. Miami-Dade's current rate sits at $7.25 per $1,000, leaving room to raise rates, the Herald reported. Sunny Isles Beach and Doral charge around $1.60 per $1,000.

Henry Torres, president of Coral Gables-based Astor Companies, told the Herald he expects the county to raise the tax rate and charge higher fees if the amendment passes. He also expects permit costs and developer impact fees to climb. Torres, whose company develops multifamily apartments, told the Herald he still supports the measure because he believes it would help struggling homeowners.

Alexander Ruiz, chief operating officer of South Florida developer Prestige Companies, was less optimistic. He told the Herald that local governments "are going to look to make up the revenue in some capacity."

What happens next

Amendment 3 needs 60% of the vote to pass. A University of North Florida poll published Oct. 21 found about half of likely voters plan to vote yes, with 14% undecided, Insurance Journal reported.

Gov. Ron DeSantis signed Senate Bill 4-F on June 24, requiring a supermajority vote from local governing boards to raise property taxes beyond the rollback rate, according to the Biscayne Times. Increasing the rate by up to 110% of the rollback rate requires a two-thirds majority. Going beyond that needs a three-quarters vote, a unanimous vote or a voter referendum.

Polls open Tuesday, Nov. 3.