California Prop 60 and 90 was a provision that allowed a person who is over age 55 to sell his or her principal place of residence and transfer its base year value to a replacement dwelling of equal or lesser value that is purchase or newly constructed within two years of the sale.
Proposition 60 allowed for the transfer of base year value within the same county and there was a limit to the transfer of only the value of the property you sold and any amount over that value was taxable.
Proposition 90 allowed for the transfers of a base year value from one county to another in California, if the that county had authorized such a transfer by an ordinance.
Now, Prop 19 changes that so that if you sell a home in California, you can now transfer the base value to any county in California and removes the limit on the value of the property you buy for your next principal home you buy.
Prop 19, also call The Home Protection for Seniors, Severely Disabled, Families and Victims of Wildfire or Natural Disasters Act.
This is important to remember, Prop 19 allows for people to transfer their base year value, but there is still a time frame.
And one of those time frames is that you must buy your new Principal residence within 2 years of the sale of your Principal residence.
If you wait and pass that 2-year period, you lose the right to file and will be taxed at the value of your new Principal residence.
Sometimes you need a little help call or text us at 909-226-3551
Effective date of Prop 19 was April 1, 2021, and you can find answer to a number of other questions and answers at https://www.boe.ca.gov/prop19/#FAQs
Steve Olmos
Selling real estate in Southern California since 1980
2024 Changes You Need to Know Here in California.
