Homestead Tax Overhaul: What DeSantis’ Special Session Means for Pensacola Homeowners

Last updated: May 30, 2026

Pensacola, Fl. NewsWK —By Randy Breland, Editor, Local News Desk

Governor Ron DeSantis has officially called a special legislative session, set to begin next week, that could radically reshape the landscape of Florida’s property tax system. The move, titled “Save Our Homes from Excessive Property Taxes,” aims to provide a historic windfall of relief for homeowners across the state, with the ultimate long-term goal of eventually eliminating homestead property taxes entirely. For Pensacola residents, who are already grappling with the compounding pinch of inflation and some of the nation’s highest insurance costs, the news could not be more critical—or more impactful.

“Property tax revenue collected by local governments has nearly doubled in the past seven years and is expected to reach an astounding $83 billion by 2032,” Governor DeSantis stated. “Florida homeowners need relief. Now is the time to stand up for taxpayers, enact a historic reform, and save the home of every Floridian.”

Local state leaders are already preparing for the session. Senator Don Gaetz (R-Northwest Florida) confirmed his support for the Governor’s plan. “I believe that property taxes amount to renting your property from the government,” Gaetz said in a statement released on Wednesday. “If you don’t pay what the government charges, you lose your property. Property taxes are especially hard on families with fixed incomes. The soaring increase in assessed property values and, consequently, increased property taxes isn’t keeping up with pensions and Social Security.”

Gaetz, while noting that Northwest Florida local governments have been good stewards, expressed concern that the overall increases in many local government budgets is far outpacing population growth and inflation. “I will vote for Governor DeSantis’ plan when it is presented to the Senate next week,” he said.

What a Homestead Tax Overhaul Could Mean for You

The core of DeSantis’ proposal is a two-phased approach. Here is what it could mean for a typical Pensacola homeowner, based on a local snapshot of data.

Phase 1: Immediate Relief

The immediate action of the special session is to increase the current homestead property tax exemption. Right now, most homeowners qualify for up to a $50,000 exemption, which reduces the taxable value of their home. DeSantis is calling for this to increase dramatically, to $250,000.

According to a review of Data USA and local market reports, the median property value in Escambia County is approximately $257,200. Under the proposed change, a homeowner with an average home would see almost all of that value ($250,000) become non-taxable, leaving only a small portion ($7,200) subject to property taxes. The Governor estimates this would initially eliminate property taxes for roughly 60% of all current homestead property owners in Florida.

Phase 2: Long-Term Elimination

DeSantis’ plan would mandate the Legislature create a specific schedule, through general law, to eventually increase the exemption until it reaches $500,000, at which point, around 92% of homesteaded properties would be tax-free. The final goal is to make all primary residences exempt.

The Great Trade-Off: Local Services vs. Tax Relief

The potential for hundreds or thousands of dollars in annual savings is a major driver of traffic and conversation, but it also raises substantial questions about how the change would impact local services. The Florida Association of Counties, representing all 67 counties, estimated that property taxes on homesteaded property make up roughly 35% of a county’s overall budget and help fund a wide range of services.

DeSantis’ proposal attempts to address these concerns with two major mechanism:

1. Focus on “Core Services”: The plan would require local governments to use any remaining property tax revenue solely for what it considers “core public needs,” including public safety, education, infrastructure, and natural resources. Other services, such as libraries, parks, or elections, would need to find other sources of revenue.
2. State Trust Fund: The Governor has proposed a state trust fund to provide grants to local governments to assist with the continuation of core local services during the transition.

A New Vision, with Unanswered Questions

While the special session is focused on homestead properties, other elements of the plan are aimed at preventing a massive tax shift. It would limit future property tax assessments on small businesses, cutting the annual assessment growth cap from 10% to 5%. However, the debate will likely be fierce over how local governments can continue to operate and what services might be impacted. Some potential solutions could involve raising other local fees or taxes.

As the state of Florida grapples with these questions, one thing is certain: the special session on property taxes will be a watershed moment for Pensacola homeowners. We will continue to monitor the session and provide up-to-date analysis on what it means for your bottom line.

References & Public Documents Scanned:

Market & Demographic Data, Data USA (2024).

Governor Ron DeSantis’ Official Press Release: “Governor DeSantis Calls Special Session to Enact Historic Property Tax Reform.” (May 28, 2026).

Official Statement from Florida Senator Don Gaetz. (May 28, 2026).

Budget Impact Reports, Florida Association of Counties.

Property Value Data, Escambia County Property Appraiser’s Office.