Winter Park's Tax Rate Hasn't Changed in Years. A New Buyer's Bill Is a Different Story.

The tax figure on a Winter Park listing is the seller's tax history. It shows what the current owner paid under the protections they built up over years of ownership. Most of those protections end at closing. The new owner's first bill starts from a fresh assessment, and the city's well-known flat tax rate does nothing to soften that.

That gap matters more than usual this fall. On September 23, the City Commission adopted its FY2027 budget and set the operating millage at 4.0923 for a 19th year in a row. New utility and stormwater rates took effect October 1. And on Tuesday, November 3, Florida votes on Amendment 3, which would split new and long-time homeowners along a line drawn on a specific date.

The Tax Line on the Listing Belongs to the Seller

Florida's Save Our Homes rule limits how much a homesteaded property's assessed value can rise each year. For 2026 assessments the limit is 2.7%, according to the Florida Department of Revenue. Hold a Winter Park home for a decade or two while market values outrun that cap, and the assessed value can end up far below what the house would sell for.

That cushion stays with the owner, not the house. Under the constitutional language reproduced in the enrolled joint resolution on the Florida Senate site, a homestead generally resets to just value on the January 1 after a change of ownership. For a buyer, that means the seller's bill is a floor at best. The new assessment starts near the purchase price.

Portability is the one exception. A buyer who held a Florida homestead exemption in at least one of the prior three years can carry the assessment difference from that home to the new one, up to $500,000. So two buyers paying the same price for the same house off Interlachen can get very different first bills. One is moving up from a Maitland homestead they owned for years. The other is moving from out of state with nothing to carry over.

Buyers who won't claim a homestead, such as second-home owners, play by a different rule. Non-homestead residential property currently faces a 10% annual cap on assessment growth for non-school levies.

A Flat Rate Still Collected More

Winter Park's budget calls itself the only city among its neighbors that has not raised its tax rate since the 2009 recession. The same document says rising property values, not the rate, are what have pushed property tax revenue up over time. The budget puts annualized property tax revenue growth at 4% to 5% over the last 20 years.

The adopted millage ordinance shows how that works. Florida requires each taxing body to calculate a "rolled-back" rate, which is the rate that would bring in the same revenue as last year from the existing tax base. Section 2 of Ordinance 3373-26 says:

"The above levy to cover general operating expenses of the City is two thousand and eight thousandths above the rolled back millage of 3.8915 mills. Pursuant to State Statutes this levy represents a 5.16% increase in property taxes above the rolled back rate."

The ordinance's opening recitals give a different rolled-back figure, 3.8697 mills. Under either number, an unchanged rate collects more money when values rise. Long-time owners feel that rise only up to their 2.7% cap. A buyer who closes this fall without portability takes on the full current value starting next January.

The city's levy works out to $4.09 for every $1,000 of taxable value, plus a separate 0.1937-mill voter-approved debt levy for the 2017 and 2020 general obligation bonds. The budget also points out that only about a quarter of a Winter Park owner's total bill goes to the city. Orange County and the schools take the rest. So the city rate, flat as it is, covers the smallest share of the bill a reassessment will reset.

Three Charges That Track the Floor Plan

Assessed value is only part of what a Winter Park home costs to carry. Several city charges are set by how much house and paving sit on the lot, whatever its market value. That matters in a market where buyers often trade up to more square footage.

The stormwater rate is the third one-cent increase in a plan the Commission approved in 2024. At $0.09, a lot with 5,000 square feet of roof, driveway and patio pays $450 a year. Add a pool deck and a motor court and the charge grows with them. Electric rates are tiered by usage. Before franchise fees and taxes, energy plus fuel costs about $0.095 per kWh for the first 1,000 kWh each month and about $0.131 per kWh after that, roughly 37% more. A larger home that runs air conditioning through a Central Florida summer spends more of its usage in that higher tier.

The budget expected the electric rate change to add less than 5%, or about $8 a month, to the average customer's bill. The FY2027 budget also says yearly electric increases "will need to become common practice" to keep power-line undergrounding on track for its FY30 completion target. An "average customer" figure is a poor stand-in for a 5,000-square-foot house.

Tuesday's Ballot Adds a Date to the Equation

Amendment 3 would change both rules above, the homestead exemption and the non-homestead cap. Per the Florida Division of Elections summary and the enrolled resolution, it would:

• Raise the non-school homestead exemption to $150,000 beginning January 1, 2027, and to $250,000 beginning January 1, 2028, with inflation adjustments after that
• Lower the non-homestead assessment cap for non-school levies from 10% to 5%, starting January 1, 2027
• Delay the larger exemption for qualifying owners who had not kept a permanent Florida residence by December 31, 2026, so that it begins in their fifth year of exemption

Winter Park Voice reports that the measure needs at least 60% of the vote. The last provision is the one relocating buyers should read twice. A family moving to Winter Park from another state in 2027 would buy at full market value and, if the amendment passes, would wait for the full exemption that a long-time neighbor gets right away.

For people who already qualify, ClickOrlando cited Florida TaxWatch estimates of $861 in savings for Winter Park homeowners in 2027 and $1,734 in 2028. These are estimates, not guarantees for any particular property.

The city has given its own estimates of the revenue it would lose. At a September Winter Park Chamber of Commerce forum, City Manager Randy Knight said the city would need to cut an estimated $3.7 million in the first year and $7.5 million the next, which he called "doable," according to Winter Park Voice. The city's Winter Park Update newsletter puts the figures at $3.4 million in FY2028 and $6.7 million in FY2029. The FY2027 budget describes an impact of about $5 million to $6 million.

The same Winter Park Voice report says Knight warned the amendment could push the city to raise its millage rate. That would increase taxes on renters, businesses and owners of more expensive homes. Former Lieutenant Governor Jeff Kottkamp, now CEO of Florida TaxWatch, said local governments may also raise fees. Pair that with the table above. If the city looks for new revenue, fees based on impervious area and usage already fall hardest on larger properties. The city's FY2027 budget expects that, if the amendment passes, many local governments may turn to "a combination of service reductions and revenue increases."

Whatever the vote, a buyer's Winter Park costs depend on four variables: purchase price, whether portability applies, the size of the house and lot, and possibly the buyer's residency status on December 31, 2026. The city's millage rate is not one of them.

Quick Questions

When do this year's Orange County tax bills arrive?

The Orange County Tax Collector mails bills by November 1 each year. Early-payment discounts are 4% in November, 3% in December, 2% in January and 1% in February. A buyer closing this fall usually sees the seller's 2026 bill. Their own reassessed bill comes a year later.

Does Amendment 3 affect the reset at sale?

The reset rule appears in the current constitutional text the resolution restates, and portability stays at up to $500,000. The amendment changes the exemption amounts and the non-homestead cap. It doesn't change what happens to a home's assessed value when the home changes hands.

Is a second home in Winter Park treated differently?

Yes. Second homes are non-homestead property, so the homestead exemption doesn't apply. Their assessments are capped at 10% a year today, and that cap would fall to 5% starting in 2027 if the amendment passes.

This post is general information, not legal, tax or financial advice. Please confirm how these rules apply to your own purchase with a qualified tax professional or the Orange County Property Appraiser.

If you're weighing a Winter Park purchase and want to know what the bill might look like after the reset, rather than what the seller pays today, Shirley Jones can go through a specific property with you, from the stormwater footprint to whether your current homestead is likely to carry over. Schedule a free consultation and bring the listing.