How Prop 19 Can Benefit You

Dated: May 19 2022

Views: 229

Here’s how Prop 19 can save many homeowners money on property taxes.

 

Are you 55 or older, disabled, or the victim of a natural disaster? If so, we have some exciting news to share with you. Prop 19 is going into effect soon, and it supersedes Props 60 and 90 in many ways. If you own a home and fit the criteria above, you can take your tax basis with you when you sell your primary residence and buy another one in California.


How can this benefit you? Let’s say you bought a home 30 years ago for $100,000. If you sell that home for $1 million and use the money to buy another $1 million home, you can still pay taxes as though you lived in your $100,000 house.


"Prop 19 could save you tons of money. "



What if you want to buy a home that’s worth more than your old one? Once again, let’s say you bought a house 30 years ago for $100,000, you sell it today for $1 million, but the new property you buy is $1.5 million. In this case, you would take your old property taxes and add the difference in value. In the end, you would be paying taxes as though you lived in a $600,000 home, which is still a lot of savings. 



You can use this proposition a total of three times if you’re disabled, but there is no limit if you are a victim of a natural disaster.
Follow this link to learn more about Prop 19, and click here to get a PDF of the Prop 19 form.

If you have questions about Prop 19 and how it can save you money, please call or email us. We look forward to hearing from you!

 

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Rahul Bhagat

We understand that buying or selling real estate is more than just a transaction: it's a life-changing experience. That's why our team of highly seasoned real estate professionals are dedicated to pro....

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