This is a big week as the much anticipated Proposition 19 will go into effect on Thursday, April 1st. Here’s the scoop: 

• All homeowners aged 55+ can purchase a new home and transfer their home’s tax base to another home anywhere in California up to three times. 
• If the sale price of the replacement home costs more than the price of the existing home, qualified homeowners can blend the tax base of their original home with the tax base of the new home. The new, adjusted property tax base of the replacement home takes the tax base of the original home and adds the difference between the sale price of the new home and the original home. 
• Prop 19 removed restrictions on Californians with severe disabilities, allowing these homeowners to move to a replacement home anywhere in California without a tax penalty up to three times. 
• Prop 19 allows victims of wildfire or natural disaster to transfer the property tax base of their damaged house to a replacement home anywhere in California. 

The big question we are asking is, “Will people take advantage of Prop 19 and will it help with the current inventory shortage in our real estate market?” 

To learn more about Prop 19 CLICK HERE.