How Can You Transfer Your Property Tax Base to Your New Home?

You can transfer your current property tax base to your new home, provided that you meet certain conditions.
Looking to sell a home in Southern California?  
Looking to buy a home in Southern California? 
If you are over the age of 55, you can transfer your current property tax base over to your new home. According to Proposition 13, once you purchase a home, your property tax rate is locked in at about 1.25% of your purchase price. Your property taxes will stay at that rate, which is fantastic because you won’t have to worry about your property taxes increasing. If you’ve been living in a big house but the kids are grown up and it’s time to downsize, you may be surprised at how much more expensive property taxes are for your new home. The good news is that if you are over the age of 55, you can take advantage of Proposition 60 or Proposition 90.

Thanks to your fixed rate, your property taxes won’t go up.
Prop 60 and Prop 90 allow you to take that property tax base from your old residence and transfer it to your new residence. You can only do this once. You do need to sell your primary residence and purchase a new residence within one or two years within certain parameters. If you purchase a home in one year it has to be 105% or less; in two years, it has to be 110% or less. Remember, the value of the property is not determined by the sales price—it’s up to the county assessor’s office, so don’t cut it too close. If you live in Alameda County, Kern, Los Angeles, Modoc, Orange County, San Diego County, Ventura, San Mateo, or Santa Clara, then you should definitely consider taking advantage of this opportunity. If you have any questions about transferring your property tax base or selling your home, just give me a call or send me an email. I would be happy to help you!