To address the issue of affordability for Florida housing, lawmakers passed the Live Local Act in 2023. This law was later amended in 2024 and 2025.
Certain programs have been offered to local governments to address the growing demand for affordable housing.
It provides developers with financial and regulatory incentives to build more affordable housing units. It requires local governments to prioritize the development of affordable housing units in accordance with the specifications of the law. It streamlines the development process for affordable housing and ensures that a significant portion of the new housing units are available at a wide range of income levels.
Now, two years later, Florida Taxwatch has released an update on the implementation of the Live Local Act to help local governments better understand how certain provisions were implemented, what worked, and what was not.
TaxWatch suggests that some new ideas need to be implemented to enhance the law.
Financial Incentives – includes the allocation of state funds to the Florida Housing Finance Corporation and the establishment of a new Corporate Tax Donation Program.
Property Tax Exemption – The area of property used in affordable housing is subject to property tax exemptions ranging from 75% to 100% of the valuation.
Municipal Requirements – Local governments should allow mixed use and multi-family development in commercial, mixed use or industrial zoned areas, as long as at least 40% of housing units are affordable for 30 years.
Simplified Zoning – The zoning process is streamlined for affordable housing projects. Developers may proceed directly to the permit without first modifying the comprehensive local government plan or zoning, or ensuring differences, as long as certain requirements are met.
In a March 2025 report, entitled “More States Use State-Level Tax Credits to Address Workforce and Affordable Housing Disorders,” Florida Tax acknowledged that the law would help reduce affordable housing deficits, swelling, property tax increases and surges inflation deficits. TaxWatch recommended that legislature consider “creating state-level tax credits to enhance state housing initiatives.”
Home builders’ corporate income tax credits help middle-income families build more affordable single-family homes.
State low income tax tax credits for rental properties to strengthen federal credit. and
Credits for projects that fit properties such as historical properties.
