Transferring Base Year Value Generally
An eligible homeowner may transfer the taxable value of their home to a replacement property anywhere within California up to three times. Filing a form is required and the transfer must meet certain conditions; more information and forms are provided below. This provision applies to transfers starting April 1, 2021. Please contact our office for transfers occurring before this date.
Persons At Least Age 55
- The original property must the principal residence (R&T Section 69.6) of the homeowner.
- The replacement property may be purchased or newly constructed.
- The replacement property must become the principal residence of the homeowner within two years of the sale of the original primary residence.
- Your new taxable value is your original prop 13 value plus any amount paid for the replacement property over the original property’s sale price.
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Replacement costs less than Original
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Replacement costs more than Original
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Replacement Property’s Value at Sale:
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400,000
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900,000
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Original Property’s Value at Sale:
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-
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600,000
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600,000
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Excess Value Over Original
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=
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n/a
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300,000
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Original Property’s Prop 13 Value:
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200,000
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200,000
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Excess Value Over Original
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+
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n/a
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300,000
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Replacement Property’s New Taxable Value
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200,000
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500,000
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Severely Disabled
Same as Persons at Least 55, except there is no age requirement. Instead you must be severely and permanently disabled. A certificate of disability must be completed by a Licensed Physician or Surgeon.
Disaster Relief
Same as Persons at Least 55, except there is no age requirement. Instead over half of the improvement value of your original residence must be damaged by a wildfire or a Governor declared disaster.
If you have any questions, please ask an Appraiser for assistance at (714) 834-2727.
