Save Our Homes
The SOHD deduction is an acronym for Save-Our-Homes-Differential.
In 1992, the voters of this state passed Amendment 10 to the State
Constitution that provided for limiting increases in homestead property
valuations for ad valorem tax purposes. The ballot title was “Homestead
Valuation Limitation”, but the grassroots initiative was known as
All persons entitled to a homestead exemption under Section 6 of Article 7 of
the Florida Constitution shall have their homesteaded property assessed at
just value as of January 1 of the year following the effective date of this
amendment. The assessed value shall change only as follows, whichever is
1) 3% of
the assessment for the prior year.
percentage change in the consumer price index.
Of course this limitation does not include any changes, additions, reductions
or improvements to the homesteaded property. The limitation addressed those
value increases attributable to supply and demand, increased replacement
cost, inflation, etc.
The county property appraiser must still assess your homesteaded property
based on its market or just value. Therefore, since all increases except
those considered to be new construction or improvements to the property are
limited to no more than 3%, a differential is created. The value limited by
this constitutional amendment is labeled on our system as “assessed value”.
However, once the homesteaded property sells, the limitation is removed and
the assessed value is automatically adjusted up to the market or just value.
The new owner can file for homestead exemption and be eligible for the
Save-Our-Homes limitation in future years.