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By Sam Stevenson
Associate News Editor
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A growing wave of property tax reforms is underway across multiple U.S. states, driven by homeowner frustration over soaring housing costs and rapidly rising tax bills.
Why It Matters
In the five years between 2019 and 2024, property taxes have increased by nearly 30 percent nationwide, reaching a median of $250 per month, according to Redfin.
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Statehouses, especially in Republican-led regions, are considering dramatic reforms that promise significant relief to property owners but carry major implications for local government funding and essential services.
What To Know
Property taxes are hitting millions in their wallets during an ongoing cost-of-living squeeze in America, meaning many are paying more than they initially budgeted for. In response, lawmakers across several states are putting forward new policies to limit the impact of these unexpected fees.
Florida
Lawmakers advanced seven constitutional amendments and one bill aimed at reducing or eliminating property taxes for homesteads, including a proposal to phase out non-school property taxes entirely.
The moves, if adopted, could save homeowners billions but would cut local government revenue by $14.1 billion in the first year and up to $18.3 billion in successive years, according to state estimates.
The constitutional amendments would require the approval of 60 percent of Florida voters in the 2026 election.
Ohio
Last month, state legislators sent five property tax reform bills to the governor, which include measures to allow counties to roll back approved levies, cap tax bill growth to inflation, and alter who carries the responsibility for proving property valuations in disputes.
Governor Mike DeWine, who previously vetoed similar measures, will now review the bills against recommendations from his property tax working group before deciding whether to sign them.
A further bipartisan plan has also been launched to help make Ohio’s property-tax system easier for people to navigate.
If enacted, these changes could deliver immediate relief to homeowners, but the debate continues as grassroots organizers push a separate ballot initiative to abolish property taxes entirely in 2026.
Iowa
A property tax overhaul, phasing in through 2027, repeals the rollback system, imposes a cap on levy growth (generally 2 percent, with exceptions for new construction and inflation), and introduces a homestead exemption—initially proposed at $25,000.
For local governments, these changes mean tighter revenue growth, which could force budget adjustments, service cuts, or alternative funding strategies to maintain essential programs.
Arizona
The state now offers tax refunds if local governments fail to enforce nuisance laws.
Voters approved Proposition 312 in November 2024. This measure allows property owners to apply for property tax refunds if their city, town, or county fails to enforce public nuisance laws—such as those prohibiting illegal camping, public drinking, or drug use, per Ballotpedia.
The measure, effective through 2035, reimburses owners for documented costs to mitigate nuisances, capped at the amount of primary property taxes paid.
Supporters say it pressures cities to uphold public safety, while critics warn it could strain local budgets and worsen homelessness by prioritizing enforcement over housing solutions.
Colorado
Property tax exemptions have been expanded for disabled veterans starting in 2025.
Previously limited to veterans with a 100 percent permanent disability rating, the exemption now also applies to those granted "individual unemployability" status by the U.S. Department of Veterans Affairs.
Eligible homeowners can exempt 50 percent of the first $200,000 of their primary residence’s value, providing significant relief, while surviving spouses of qualifying veterans and Gold Star spouses remain eligible. The exemption also covers senior citizens age 65 and older who have owned and occupied their home for at least 10 years in a row.
Georgia
Property tax assessment increases have been capped at the rate of inflation. This means annual growth in assessed property values cannot exceed inflation, helping stabilize tax bills for homeowners.
Wyoming
Property tax exemptions expanded under new laws, in which qualifying residents can exempt up to 50 percent of their home’s value—capped at $1 million—or receive a 25 percent cut on the first $1 million of a single-family home.
Seniors aged 65 and older with 25 years of tax history also qualify for a 50 percent reduction on their primary residence.
What People Are Saying
Republican Florida House Representative Toby Overdorf of Palm City said: "Local government property tax is increasing at an unsustainable rate. It is time to put money back in the hands of Floridians."
South Pasadena Vice Mayor Thomas Reid said: "With less revenue, we face daunting choices. We will need to cut or scale back vital services such as road infrastructure, park upkeep, emergency services and, yes, very likely, law enforcement."
Florida Governor Ron DeSantis, who supports property tax elimination but has criticized the House’s piecemeal approach, said in May on X: "Truly owning private property should not mean perpetually paying rent to the government. I’m committed to reducing—and ultimately eliminating—property taxes for homeowners in Florida."
Susan Wachter, University of Pennsylvania, said: "The affordability benefits to homeowners of reducing property tax rates as property tax values increase are great. This can be done while keeping tax revenues needed for local expenses constant. Cutting more than this imposes real costs either in lost community services or in the need to raise other taxes."
What Happens Next
In Florida, the suite of tax amendments must advance through additional legislative committees before being placed on the 2026 statewide ballot. Each constitutional amendment would then require 60 percent voter approval to become law. If passed, existing homeowners could see immediate savings, but local governments warn of deep service cuts or new fees.
Economic analysis from Realtor.com projects a 7 to 9 percent jump in Florida home values if property taxes are eliminated—an outcome that could further hinder affordability for first-time buyers.
Nationally, legislatures and voters in several states—including Illinois, Kansas, Montana, North Dakota, Pennsylvania, and Tennessee—are considering or preparing similar ballot measures to eliminate or lower property taxes, with some votes scheduled as soon as November 2026.
Ohio’s state Senate has been debating the property tax reforms recently passed by the state’s House lawmakers. But they have not yet been rubber-stamped or rejected by Governor DeWine.
Meanwhile, a new bipartisan push for new legislation in Ohio would require counties to offer payment plans, ensure at least 30 days between mailing a tax bill and its due date, and send written notices whenever a property’s value changes.
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