Property Tax Base Transfers Throughout CA (Prop 19) Begins 4/1/2021
California voters passed Proposition 19 in November of 2020. Prop 19 had two major impacts for property owners:
1) Prop 19 changed how interfamily transfers of property are taxed (took effect February 16, 2021).
2) Removed unfair location and price restrictions, assisting homeowners who are 55 or older, severely disabled, or victims of California wildfires and making them eligible for property tax saving (effective April 1, 2021).
With the passage of Proposition 19, eligible homeowners can now:
Purchase a new home and transfer their home’s low Proposition 13 property tax base to another home anywhere in California up to three times and realize significant property tax savings.
Transfer their home’s tax base to another home -- even if the sales price of the new home is priced higher than their existing home (with an upward adjustment in the tax basis if the replacement principal residence is of greater value).
This has become increasingly important for homeowners wanting to move to more affordable areas of California, or to be closer to family without increasing the tax savings afforded them by Prop 13.
For more information on Prop 19 and how this may benefit you or someone you care about, please reach out to me.
Tamara Z, GRI, REALTOR, CNE, SRES, GREEN - Coldwell Banker West.