Real Estate Tax Savings for Homeowners 55 and Over – Learn how Prop 60 and 90 can put more cash in your bank account

California homeowners, 55 and over, may be eligible to transfer their current property tax base to a property in a different location. The state laws are called, “Proposition 60 and 90.”  60 is for intracounty transfers and 90 is for intercounty transfers.  The laws apply to selling and buying a properties in Palm Springs, the Coachella Valley i.e. Riverside County (intra) as well as selling in another eligible county and buying in Riverside County (inter).

Eligibility Requirements:

  • Homeowners must be age 55 or better. For married couples, only one spouse must be 55 or better to qualify.
  • Homeowners must sell their former residence within 2 years of purchasing the replacement property.
  • Both the former and replacement properties must be the owner’s primary residence
  • The market value of the replacement property must be equal to or less than the market value of the former residence.
  • If the property is in a trust, the homeowner will need to be the beneficial owner of the trust, not only the trustee.

Currently there are eleven counties in California with ordinances for intercounty tax transfer:

Alameda
El Dorado
Los Angeles
Orange
Riverside
San Bernardino
San Diego
San Mateo
Santa Clara
Tuolumne
Ventura

If you live in Riverside Country, and are selling and buying within the county, visit the Assessor-County Clerk-Recorder web site for additional information.

For home buyers relocating to Riverside County, visit the California State Board of Equalization  and verify if your county participates in the intercounty tax transfer.

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s