Dear Monica: I am over 55 and know that I can move my property taxes within my own county (Prop 60) or to 11 other counties (Prop 90), but I want to move to a county not allowing Prop 90 transfers. Will I ever be able to do this? Beth C.
Dear Beth: The California Association of Realtors (CAR) has proposed a Portability Initiative that would greatly expand your ability to move your property tax base. It would allow people 55 years of age or older to move to any county in California and take their tax base with them, and not be restricted to buying only properties of equal or lesser value than the one sold. If they bought a more expensive property, they could keep the old tax base for the portion equal to the sale price of the sold property and pay at the new rate for the portion exceeding this. There would be no limit to the number of times this could be done.
Home prices have risen substantially in California in the past decades and two tax issues keep longtime homeowners in their homes: capital gains taxes, and property taxes. This Initiative addresses the second issue, property taxes, by expanding the ability to carry ones old tax base to any new home. CAR is gathering signatures now to qualify this Initiative for the November ballot.