AFFORDABILITY CALCULATOR
Quite affordable.
Your Property Tax Base Is an Asset.
Protect It Before You Sell.
Under California's Proposition 13, a long-held home carries a taxable value far below today's market. Under Proposition 19, eligible sellers may be able to carry that advantage to their next home, anywhere in California. Understanding the rules before you list can materially change your net outcome.
The Three Rules Every Seller Should Know
The Foundation
Property tax is based on a 1% rate applied to assessed value, plus voter-approved local charges. Assessed value rises no more than 2% per year, and resets to market value when ownership changes or new construction is completed.
The Opportunity
Homeowners who are 55 or older, severely disabled, or victims of a wildfire or natural disaster may transfer their existing tax base to a replacement primary residence anywhere in California, up to three times.
The Limitation
Inherited homes no longer pass to heirs with the parent's tax base unless the heir makes the home a primary residence, and the exclusion is capped by value. Heirs who plan to sell should understand this before the decision is made.
Do You Qualify for a Prop 19 Base Year Value Transfer?
- You are 55 or older, severely and permanently disabled, or a victim of a wildfire or natural disaster.
- The home you are selling is your primary residence and qualifies for the homeowners' or veterans' exemption.
- The replacement home becomes your primary residence, and the purchase or construction occurs within two years before or after the sale of your original home.
- The replacement home is located in California. It may be in a different county.
- You have not already used the transfer three times.
- You file the claim with the county assessor where the replacement home is located (form BOE-19-B for age 55 and older).
Estimate the Annual Tax Impact
Enter a few figures to see how a base year value transfer could compare with a standard reassessment. This is an illustration only. Your county assessor determines the actual figures.
Proposition 13 and Proposition 19 Compared
| Topic | Proposition 13 | Proposition 19 |
|---|---|---|
| Core purpose | Limits the property tax rate and caps annual growth in assessed value. | Allows eligible homeowners to carry their tax base to a new primary residence, and narrows the inheritance exclusion. |
| Annual increase | Assessed value rises no more than 2% per year. | Not applicable to annual increases. Operates at the time of sale and purchase. |
| What triggers reassessment | A change in ownership or new construction. | Replacement home may avoid full reassessment if the transfer is claimed and qualified. |
| Who benefits | All California property owners. | Owners 55 or older, severely disabled, or disaster victims; heirs who move into an inherited family home. |
| Where it applies | The property you own. | Replacement home anywhere in California. |
Questions Sellers Ask Before They List
What is a base year value transfer under Proposition 19?
A base year value transfer allows a homeowner who is 55 or older, severely disabled, or a wildfire or natural disaster victim to carry the taxable value of their current primary residence to a replacement primary residence. The new home is taxed on the transferred value, adjusted if the replacement costs more, rather than at its full purchase price.
What if my replacement home costs more than the home I sell?
If the replacement home is of equal or lesser value than the home you sold, your existing factored base year value transfers as is. If it is of greater value, the difference between the two market values is added to the transferred base year value. You still benefit, but by less than in a like-value move.
Can I move to a different county and keep my tax base?
Yes. Proposition 19 allows the transfer to a replacement primary residence anywhere in California, not only within the same county. This is a significant change from the prior rules, which limited intercounty transfers to participating counties.
How many times can I use the Prop 19 transfer?
A claimant who is 55 or older, or severely disabled, may transfer their base year value up to three times. Disaster-related transfers are treated separately.
What is the timing requirement for buying and selling?
The replacement home must be purchased or newly constructed within two years before or after the sale of the original home. Coordinating those dates is one of the most important parts of planning a move.
How do I claim the transfer?
You file a claim with the county assessor where the replacement home is located. For homeowners 55 or older, the form is BOE-19-B. Severely disabled claimants use BOE-19-D with a certificate of disability, and disaster victims use BOE-19-V. Confirm current filing deadlines and requirements directly with the assessor before you close.
Does Prop 19 change what happens when I inherit a home?
Yes. The parent-child and grandparent-grandchild exclusion now applies only to a family home that the heir uses as a primary residence, and only up to a value limit that the State Board of Equalization adjusts periodically. If the heir sells the home or rents it out, it is generally reassessed. Estates with more than one property or a home the heir will not occupy should be reviewed with a tax professional.
Will selling my home raise my property taxes?
The buyer's property tax is reassessed to the purchase price. Your own tax situation depends on your next purchase. If you qualify for a base year value transfer and file a timely claim, your replacement home may carry forward your lower base. If you do not qualify, the replacement home will generally be assessed at its purchase price.
Let's Structure Your Sale Around the Outcome You Want
Timing, pricing, and the replacement purchase all interact with your tax base. A private strategy conversation with Debra can clarify your options before you commit to a timeline.
This page is general information and is not tax or legal advice. Property tax outcomes depend on individual circumstances, and the county assessor makes the final determination. Consult a qualified tax professional or the San Luis Obispo County Assessor before relying on any estimate. Debra Lowe, DRE #02142886.