The short answer: own and occupy the home as your permanent residence as of January 1, then file with your county property appraiser by March 1. The exemption reduces your taxable value by up to $50,000, and the Save Our Homes cap then limits annual assessed-value increases.
What it's worth
The first $25,000 of exemption applies to all property taxes. A second $25,000 applies to the assessed value between $50,000 and $75,000 and covers everything except school taxes. On top of that, Save Our Homes caps your assessed value increase at 3 percent or the change in the CPI each year, whichever is lower — which is where the real long-term savings build up.
How to file
File once with your county property appraiser (Orange, Seminole, Lake, Osceola, or Volusia) and bring proof you live there — a Florida driver's license, voter registration, or vehicle registration at that address all help establish permanent residency. It generally renews automatically after the first year.
The investor flip side
Buy a property that will not be your homestead — a rental or second home — and you get none of this. Worse, the assessed value resets to market value, so budget for a tax jump in year two. I flag this whenever we run an investment property check or build a relocation plan.
This is general information, not legal advice. Florida statutes change and every situation is different — confirm the current law or speak with an attorney before you act.