60/90 Rule – Proposition 90 eligibility requirements – real estate in CA

How Does Proposition 90 work?

Under Proposition 90, California property owners who are 55 years or older may be able to qualify to transfer the assessed valued of their principal residence sold in County “A” to their new residence in County “B”. County Assessors require a copy of the tax bill from the other county and a copy of the applicant’s birth certificate to be included with the application, along with a copy of the grant deed for the new purchase and a copy of the closing statements of both sale and purchase.

The following list summarizes eligibility requirements:

  • The seller of the original residence, or a spouse residing with the seller, must be at least 55 years of age, as of the date that the original property is transferred
  • The replacement property must be of equal or lesser “current market value” than the original
  • The base year value of the original property cannot be transferred to the replacement dwelling until the original property is sold
  •  The replacement property must be purchased or newly constructed within two years (before or after) of the sale of the original property
  • The owner must file an application within three years following the purchase date or new construction completion date of the replacement property
  • This is a one-time only filing. Proposition 60/90 relief cannot be granted if the claimant, or spouse, was granted relief in the past
  • Proposition 60/90 relief includes, but is not limited to: single family residences, condominiums, units in planned unit developments, cooperative housing, corporation units or lots, community apartment units, mobile homes subject to local real property tax, and owners’ living premises which are a portion of a larger structure
  • The taxpayer is not eligible for the tax relief until they actually own AND occupy the replacement dwelling as their principle residence

Contact the co-operating county in question at the following numbers in order to verify that they are currently accepting the value transfer under Proposition 90, and find out what their additional qualification requirements are:

Los Angeles: (213) 974-3101

Ventura: (805) 654-2181

Santa Barbara: (805) 568-2100

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