Many longtime Central Coast homeowners stay put because they are worried about a higher property tax bill on their next home. California’s Proposition 19 changed that for many homeowners 55 and older. This is general information; confirm details with your County Assessor and a tax professional.
By Richard Gonzalez, REALTOR® · The Gonzalez Group at Compass ·
Since April 1, 2021, eligible homeowners who are 55 or older, severely disabled, or victims of a wildfire or natural disaster can transfer the taxable value of their primary residence to a replacement primary residence anywhere in California. Before Prop 19, these transfers were limited to the same county or a handful of participating counties.
The replacement home must be bought or built within two years of selling the original home, and both must be your primary residence. Eligible homeowners can use this benefit up to three times. If the new home costs more than the one you sold, part of the difference is added to your transferred value.
You file a claim with the County Assessor in the county where the replacement home is located. Keep your closing statements and records for both homes.
Many 55+ homeowners in San Luis Obispo and northern Santa Barbara County have owned for decades. Prop 19 can make downsizing, moving closer to family or moving to a single-level home much more affordable to plan.
Timing both transactions takes planning. Richard Gonzalez can help you map out pricing, a sell-first or buy-first plan, and timing around the two-year window, working alongside your tax advisor.
Under Prop 19, eligible homeowners 55+ can transfer their base to a replacement primary residence anywhere in California.
Eligible homeowners can use the transfer up to three times.
Part of the price difference is added to your transferred taxable value. Ask the County Assessor how it applies to you.
Generally within two years of selling the original home. Confirm with the Assessor.
General information only, not legal, tax or lending advice. Verify rules with the city, county, lender or a licensed professional. Richard Gonzalez, REALTOR®, CA DRE 01429838 · Compass, CA DRE 01991628 · 763 Shell Beach Rd, Pismo Beach, CA 93449 · 805-268-4407 · Equal Housing Opportunity.
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