Florida Property Taxes & Your Mortgage: What Buyers Should Know

When buying a home in Florida, it’s important to understand how Florida property taxes work—because they directly impact your monthly mortgage payment. Unlike some states, Florida taxes are billed annually, but most homeowners pay them monthly through an escrow account.

This blog serves as your Florida homebuyer property tax guide, whether you're a first-time buyer or just relocating to the Sunshine State.

How Florida Property Taxes and Your Mortgage Work Together

Here’s where your Florida property taxes and your mortgage connect: through escrow.

Your lender sets up an escrow account to manage your property taxes and homeowners insurance. Every month, part of your mortgage payment goes into this account. When your tax bill comes due (usually in November), your lender pays it directly from escrow.

This system helps you avoid having to come up with thousands of dollars all at once—and keeps your taxes paid on time.

How Does Escrow Work in a Florida Mortgage?

Wondering how escrow works in a Florida mortgage? Here's the simple version:

Your escrow account is managed by your lender and collects part of your monthly mortgage payment to cover:

• Florida property taxes

• Homeowners insurance

When the annual bills come due, your lender pays them on your behalf using the funds in that account. That means your property taxes are included in your mortgage—helping you avoid lump-sum payments.

What Impacts Your Property Tax Bill in Florida?

Let’s talk about what goes into your Florida property tax calculation:

• Purchase price of the home (which often affects the new assessed value)

• Location (different counties/cities have different millage rates)

• Add-ons like pools or additions that raise the home value

• Homestead Exemption, which can significantly reduce your taxable value if the property is your primary residence

This is why many ask, "Do I pay property tax with my mortgage in Florida?" The short answer: yes—through your escrow.

Monthly Mortgage Payments with Taxes in Florida

When budgeting, remember that monthly mortgage payments in Florida typically include:

• Principal & interest

• Property taxes

• Homeowners insurance

This full picture gives you a realistic sense of what you'll owe monthly—not just your loan payment.

Pro Tips for Florida Buyers

• Ask your lender for a property tax estimate before finalizing your loan.

• Check your escrow analysis annually—if taxes or insurance change, your payment might, too.

• File for the Homestead Exemption after closing to lock in savings for future tax years.

When it comes to escrow and mortgage Florida style, it’s all about being informed. Knowing how property taxes are paid in a Florida mortgage, what affects your bill, and how escrow accounts work will help you plan ahead, avoid surprises, and feel more confident in your purchase.

Still wondering how this all applies to your situation? Reach out and let’s walk through it together—your peace of mind is worth it.

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Jonathan Shupe Branch Manager

Jonathan Shupe NMLS ID# 1649211 is Manager of Shupe Lending Group NMLS ID# 2478065. Jonathan Shupe and his team of loan officers are licensed in multiple states. Many of the borrowers of Shupe Lending Group are individuals who did not qualify at other lenders due to those lenders overlays on government and conventional loans. We have a reputation of being able to work with over 270 different lenders to be able to offer out clients dozens of non-QM and alternative financing loan programs. Any non-QM mortgage loan program available in the market will be offered by our team at Shupe Lending Group. Our team is available 7 days a week, evenings, weekends, and holidays.