Each county in Florida appraises all properties within the county each year, using mass appraisal technology. This analysis of real estate market data assigns values to large swathes of properties at once.

Each property has a just value (market value), an assessed value, and a taxable value. The assessed value is the market value minus assessment limitations (read more about Save Our Homes in the How To Save Money section below). The taxable value is the result of market value minus the homestead cap (the assessed value), non-homestead cap, portability and any exemptions. Properties often have more than one taxable value because certain exemptions and cap limitations do not apply to all taxing authorities. For example, the senior exemptions and Non-Homestead Caps do not apply to the School Board.

The taxable market value for each property is the value of a property on January 1st of each year. This is determined using the following methodologies:

1. The Comparable Sales (Market) Approach compares similar properties by reviewing property sales in your area. Adjustments are made to account for some differences between the properties, such as square footage, lot size, and swimming pools.
2. The Cost Approach considers how much it would cost, at current material and labor costs, to replace your property, taking into account any applicable depreciation.
3. The Income Approach considers the income derived from income-producing properties such as rental homes. Specific facts evaluated are operating expenses, taxes, insurance, maintenance costs, the degree of financial risk taken in earning income from the property, and the return on the investment

Property taxes in Florida are implemented in millage rates. A millage rate is one tenth of a percent, which equates to $1 in taxes for every $1,000 in home value. A number of different authorities, including counties, municipalities, school boards and special districts, can levy these taxes.

Property owners will receive an annual Truth in Millage (TRIM) notice in mid to late August each year, which states their property’s just or market value, and assessed value. You will be responsible for both ad valorem taxes, which are property taxes based on your property’s value, and any applicable non-ad valorem assessments, which are fees that may be added to your bill by levying authorities such as the Solid Waste Authority.

Note that millage rates and exemptions apply separately to school taxes and non-school taxes. You can get more information and a more detailed calculation worked out on the Florida Department of Revenue's website.

If you believe that the appraised value on your property is inaccurate, including exceeding the current market value (what you could get if you sold your home on the open market), you can file an appeal to the county adjustment board. Note that property owners have only 25 days to file an appeal from the postmarked date of the TRIM notice.