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This is an old question and answer, and the tax laws have changed. Learn more about Proposition 19
Dear Phyllis,
Next year, my wife and I plan to downsize to a smaller home or condo. We are contemplating renting our current home and then perhaps renting something in Ventura County where we believe we want to retire. I have several questions: 1) How do I go about transferring or keeping our current property taxes? 2) I believe the minimum age is 55, but my wife is not yet 55 – will that matter? Jeff
Dear Jeff,
Two propositions address how seniors can retain their low property taxes. You can only claim Propositions 60 and 90 once. You can find the filing form on the assessor’s website.
Proposition 60 allows seniors (age 55+) to transfer the tax base from their current home to a less expensive replacement home within the same county. Only one of you needs to have reached the age of 55 prior to the sale of your principal residence. At present, this is a one-time tax reprieve that requires the purchase of the less expensive residence within two years from the sale of the original property. However, both homes must be your primary residence.
Proposition 90 relates to transfers of base value from one participating California county to another. Participating counties include your desired relocation to Ventura and: Alameda, Orange, San Diego, San Mateo, Los Angeles, Santa Clara and El Dorado.
The idea of renting in Ventura first is a cautious approach. But you may instead decide to sell now to take advantage of today’s high real estate values. To qualify for the transfer of your property tax basis, you must close escrow on a lesser-priced home within two years from the sale of your current residence.
You must file a claim within three years to receive all available savings. If you file after three years, the savings will begin in the calendar year you submit the claim.
