Do you know that you can transfer your current low property tax base to your trade-down primary home if you are over age 55?
Prop 13 prohibits property tax increases until property ownership is changed.
If either spouse is over age 55 (when the old home is sold), PROP 60 allows replacement of a primary residence with a new home of equal or lesser value within the same county and transfer of the Prop 13 assessed valuation from the old home to the new property. This is allowed once in your lifetime, and a spouse who has done it before ‘taints’ both spouses.
PROP 90 allows counties to elect to accept transfers of Prop 13 values for moves from other counties when a primary residence is replaced with a less expensive home. If you are over 55 and move into a county which accepts Prop 90, you may take your old, lower Prop 13 value, regardless of from which county you move.
Using Prop 90, you can sell your $1,000,000 Sunnyvale home with assessed value $250,000 and move to a new $600,000 home in any of the 8 participating counties; the assessed value of your new purchased home will be $250,000! Wow!!!
Call Robert at 408-893-2410 if you are interested in finding more information regarding this property tax transfer benefit.
Robert Lei, REALTOR®, e-PRO®
Century 21 M&M and Associates
Cell: (408) 893-2410