| Are you over 55 and thinking about selling your home | | | | of new construction) that occurs 1 to 2 years after the |
| and moving into something smaller, but worried about | | | | sale of the original home, the "equal or lesser" rule can |
| the tax implications when you relocate? If so, you | | | | change slightly. Talk to your county assessor for |
| aren't alone. As the baby boomers find themselves | | | | details on this. Purchase or completion of |
| approaching retirement age and becoming empty | | | | construction of the replacement property must be |
| nesters, their housing needs are changing along with | | | | completed within two years of the sale of the original |
| their lifestyles - but inflation and taxes just seem to | | | | property. Application for tax relief must be |
| keep going up, up, up. Fortunately some relief, in the | | | | filed within 3 years of the purchase (or completion of |
| form of Prop 60, is available. What is Prop 60? | | | | construction) of the new home. This is a once |
| Proposition 60 is a constitutional amendment, approved | | | | in a lifetime benefit. Neither spouse can file again. How |
| by California voters, that provides property tax relief | | | | do I file for Proposition 60 tax relief? Contact your |
| under certain circumstances. Essentially, what Prop 60 | | | | county assessor's office. The assessor will determine |
| does is allow qualifying property owners to replace | | | | if the transaction qualifies and provide you with claim |
| their primary residence with a new home of equal or | | | | forms. I've heard something about Proposition 90. What |
| lesser value and maintain their same tax base. Why, | | | | is that? Proposition 90 is an amendment that permits |
| you might wonder, would anyone want to do that? | | | | the property owner to carry the benefits of Prop 60 |
| Wouldn't my property taxes be less on a home of | | | | throughout California. Each county in California has the |
| lesser value? Not necessarily. With Prop 60, what is | | | | option to accept tax base transfers from other |
| transferred is the Proposition 13 or "base year value" | | | | counties, allowing qualifying homeowners more flexibility |
| of the old home, which can be substantially less than | | | | when planning a move. Counties are not required to |
| the current market value of either home. How can I | | | | participate, and currently there are only 7 counties in |
| qualify for Prop 60? Both the original home | | | | California that accept Prop 90. These counties include |
| and the new home must be located in the same | | | | Los Angeles, Orange, Ventura, San Diego, Alameda, |
| county. Both the original and replacement | | | | San Mateo and Santa Clara. This number is subject to |
| properties must be your primary residence. | | | | change, as counties have the option to repeal their |
| Both properties must be eligible for the | | | | participation. Prop 60 and Prop 90 are great |
| Homeowners' Exemption or Disabled Veterans' | | | | extensions of Proposition 13, which was the initial break |
| Exemption. The seller or spouse residing in the | | | | offered to the taxpaying public. If you think either might |
| home must be at least 55 years old when the original | | | | be something that will work for you, please consult |
| property is sold. The replacement home must | | | | your tax advisor or your county assessor for details. |
| be of equal or lesser value than the current market | | | | Renee Adelmann specializes in Marin California real |
| value of the original home. There is a little wiggle room | | | | estate. Learn about Marin County and find out about |
| within this rule, depending on when the new property is | | | | Prop 60 & 90 for Marin residents. |
| purchased. For the purchase of a home (or completion | | | | |