Florida Homestead Portability: Maximize Your Property Tax Savings

Florida Homestead Portability

When moving within Florida—whether upsizing, downsizing, or relocating counties—don't lose the powerful tax benefits you've earned. Portability of your home’s tax savings means you get to carry over your “Save Our Homes” advantage, and Sun National Title is here to guide you through it.

What Are the Key Benefits of Homestead Portability?

Florida’s Save Our Homes (SOH) amendment caps the annual increase in your homestead’s assessed value to 3% or the rate of inflation, whichever is lower. This advantage grows over time into a significant tax-saving difference between your home's market value and assessed value (Wikipedia, encoremortgage.net).

Portability allows homeowners to transfer up to $500,000 of that SOH benefit to a new homestead within Florida (Wikipedia, encoremortgage.net, pcpao.gov).

How Does Homestead Portability Work?

1. Eligibility Requirements

   • You must have filed for and received a Homestead Exemption on your previous residence.

   • The new property must also qualify as your primary residence in Florida.

   • You must apply separately for portability and cannot rely on automatic transfer (US Patriot Title, encoremortgage.net).

2. Time Frame for Applying

   • Thanks to Florida Amendment 5 (2020), homeowners now have three tax years from the January 1 of their last homestead year to apply for portability (Wikipedia, pcpao.gov).

   • Example: If you sold your prior homestead in 2024, you have until January 1, 2027 to port your benefit (pcpao.gov).

3. Calculating the Ported Amount

   • Upsizing (new home ≥ old home’s market value): You may transfer the full SOH benefit, up to the $500,000 cap (encoremortgage.net).

   • Downsizing: The benefit is prorated:

     Example:Old home market value $400K, assessed $300K → SOH benefit $100K → downsizing to $250K, ported benefit ≈ $62,500 → new assessed ≈ $187,500 (buttamiami.com).

4. How to Apply

   • File Form DR-501T (“Transfer of Homestead Assessment Difference”) alongside your Homestead Exemption Application (Form DR‑501) with the Lee County Property Appraiser’s office by March 1 of the tax year you wish to apply (US Patriot Title, Gould Cooksey Fennell).

   • 
     

Quick Portability Summary Table

Item	Details
Eligibility	Must have previous Homestead Exemption and new primary residence in Florida
SOH Cap	Max increase of 3% per year under Save Our Homes amendment
Portability Amount	Up to $500,000 of SOH benefit can be transferred
Time to Apply	Up to 3 tax years after last homestead year (Amendment 5, effective 1‑1‑2021)
Application Deadline	March 1 (DR‑501T + DR‑501 to Property Appraiser)
Upsizing	Full benefit possible (up to cap)
Downsizing	Proportional benefit based on relative market values

Why Use Portability? Real Insights from Florida Homeowners

On Reddit, a homeowner shared:

“Portability Act… My taxes went from about $1,800 to $500 just for doing the paperwork.” (Reddit)

Another noted:

“The homestead exemption takes $50,000 off … The … ‘Save Our Homes’ … limits year to year tax increases to 3%… If you moved from another homesteaded home in Florida, you can port that benefit over.” (Reddit)

These firsthand testimonials underscore how impactful portability can be in saving homeowners hundreds—or even thousands—annually.

Why Sun National Title Is Your Ideal Partner in Fort Myers

At Sun National Title Company, we’re not just your closing partner—we’re proactively safeguarding your financial interests:

• We coordinate with your real estate agent and Lee County Property Appraiser’s office to ensure portability and homestead applications are submitted seamlessly and on time.

• We provide personalized support, especially if you’re downsizing or blending households, to calculate your eligible benefit.

• Our knowledge of deadlines and technicalities helps prevent costly oversights—like missing the March 1 deadline or miscalculating a prorated benefit.

  
  

Final Tips for Portability Success

• File by March 1 in the year after your move.

• Don’t delay your portability—bills and taxes can quickly escalate without it.

• Ensure your property appraiser applies the correct assessment; verify your new assessed value includes the portability benefit.

• Apply even if you’re renting temporarily—you have up to 3 tax years to re-establish your homestead (encoremortgage.net, buttamiami.com).

  
  

Bottom Line: Homestead portability is one of Florida’s most valuable homeowner benefits—saving you significant money when moving. Let Sun National Title Company in Fort Myers ensure you capture these savings smoothly and expertly.

Feel free to reach out if you'd like us to walk you through the process or assist with the required documentation.