What is Proposition 19 in Santa Cruz County?
What is Proposition 19?: Proposition 19 in California was a statewide ballot measure that was passed by voters in the November 2020 election. It introduced significant changes to property tax rules in the state, affecting property transfers and tax benefits for homeowners and certain vulnerable populations
Who Can Avail?: Homeowners who are 55 years of age or older, severely disabled, or victims of natural disasters can benefit from this proposition. The transfer of the property tax assessment is limited to once in a lifetime and only for a primary residence.
Where is this located?: Proposition 19 applies to the entire state of California.
Why? The primary goal of Proposition 19 is to generate additional revenue for local governments and schools by closing certain property tax loopholes. It aims to incentivize older homeowners to downsize or move without facing significantly higher property tax bills, potentially making housing more accessible to younger generations.
How: It allows eligible homeowners to transfer their property tax assessments to a new home within the state. For inherited properties, it limits the ability to avoid property tax reassessment.
Additional Notes: Proposition 19 also limits the ability to transfer property tax assessments for inherited properties, making it more difficult for heirs to avoid property tax reassessment.
Incentive for Downsizing: Proposition 19 incentivizes older homeowners to downsize or move to more suitable residences without facing steep increases in property taxes, potentially making housing more accessible for younger generations.
Incentive for Upsizing: Purchase a more expensive home (increased tax only on the amount higher than the sales price of the current home)
For specific legal or financial advice related to Proposition 19, it's advisable to consult with a qualified professional or attorney who specializes in California property tax law.
For assistance or questions, please contact the Property Tax Department by phone at 1-916-274-3350 or you may visit their website at www.boe.ca.gov