Homestead Exemption is a constitutional benefit of up to a $50,000 exemption removed from the assessed value of your property. It is granted to those applicants who timely file by March 1, possess title to real property and are bona fide Florida residents living in the dwelling and making it their permanent home on January 1. Rental of the homestead property (exclusive use by a tenant on a temporary, seasonal or annual basis) constitutes abandonment of the homestead – if you plan to rent, contact the Appraiser’s Office to determine your exempt status. Properties granted Homestead Exemption automatically receive the “Save Our Homes” benefit. This is a constitutional benefit approved by the Florida voters in 1992. It places a limitation of 3% on annual assessment increase on Homestead properties beginning with the 1995 tax year. For properties granted Homestead Exemption in the prior years, that assessed value will be the base value for the implementation of “Save Our Homes”. Thereafter, the assessed value will not increase more than 3% or the Consumer Price Index, whichever is less. Exceptions to that limitation include new additions or construction that escaped taxation in the past. Another exception would occur when a homestead property sells: the assessed value returns to fair market value in the year following the sale. That fair market value assessment then becomes the base value for “Save Our Homes” purpose for the new owner/homestead applicant. For further information please visit the Lee county property appraisor’s site at leepa.org.