Homeowners age 55 and over have a lot more options when it comes to transferring the tax base of their principal residence to a new home.
Prop 19 prevailed in our recent election, and will let these homeowners move anywhere within California and still retain their original tax base. This benefit was previously limited to a few California “reciprocal” counties, as well as the county in which you were selling.
You can also purchase a home that’s worth more than your current home, though you’ll have to add the difference between the price of both homes to the new tax base.
And you can do this type of transfer three times.
It’s not clear when these new rules will take effect, so check with your CPA before you make a move.
This is a big deal, as I’ve known many homeowners interested in retiring to other areas within our state but can’t afford to increase their property tax payments. If you’ve been dreaming of moving to popular places like San Diego, Sonoma, or Napa, you can rest easy knowing you’ll be able to retain your tax base. Feel free to contact me at email@example.com | 415.823.4656 if you’d like to start planning your move.