If you are age 55 or older and live in San Diego County, you need to know about Propositions 60 and 90 and how it can benefit you! If you’ve been thinking of selling your current home and downsizing or moving to a different home, these propositions can make moving easier on your wallet.
What is Proposition 60?
If you’re age 55 or older, Proposition 60 allows you to move within the same county (in this case, San Diego) and transfer your base year value. Your property’s base year value is tied to Proposition 13, which was established to protect buyers from increases in property taxes by setting a base year value on a property. If the property was acquired in 1975 or earlier, the base year value is set for the property’s assessed value in 1975. If the property was purchased after 1975 then the base year value is set by the market value of the property at the time of purchase. Under Proposition 60, when you purchase a new property you can transfer that base year value to the new home!
What Are the Restrictions of Proposition 60?
-You or your spouse must be 55 years of age.
-You must sell your home and purchase a new property within two years.
-The value of the replacement property must be equal to or less than the value of your current home.
-Proposition 60 only applies to primary residences, not investment properties.
-Proposition 60 can only be utilized one time unless you become disabled and need to move again to a property that fits your needs.
What is Proposition 90?
Proposition 90 is similar to Proposition 60, except for that it allows you move from one participating county to another in the state of California and still receive the same benefits of Proposition 60. The participating counties are as follows:
- Alameda County
- El Dorado County
- Los Angeles County
- Orange County
- Riverside County
- San Diego County
- San Mateo County
- Santa Clara County
- Ventura County
Where Can I Find More Information on Propositions 60 and 90?
To learn more about Propositions 60 and 90, you can read the FAQ page on the California State Board of Equalization website here.
I’ve Decided That It’s the Right Time For Me to Make a Move – What Should I Do Next?
If now is the right time for you to sell your current home and purchase another, give me a call to get started!