Let’s break down the good and ugly.  I will start with what we had…The prop 60/90.  Prop 60 was a same county transfer and prop 90 was intercounty. They both had the basically the same rules.

Under the 60/90 rule, you could transfer the base value from your home to a replacement property. You had to be 55+, you could buy new or resale, as long as the replacement home was of equal or lesser value of your home, your principal residence, one time deal, and you had to file within 3 years of the transaction. Counties had to co-operate with the sale. The original property had to be eligible for Homeowners or Disabled Vet’s exemptions.  Here in Southern Cal, all counties allowed the intercounty base value transfers. It was pretty simple to do the transfer. When this rule was in place it was feasible to find a home of equal or lessor value. I actually help clients file the paperwork for prop 60/90.

Prop 19 replaced prop 58(transfers between parents and kids both ways, no reassessments) and prop 193(grandparents to grandkids, one time, no reassessments) what was nice about these props is that the eligible transfers were a gift, inheritance, or transfer of ownership. No value limit if it was a principle residence, and value did not exceed $1 million. Prop 19 limits the transfers. There’s more. Prop 19 also reassess the transfers of property. So when you want to give your property to your kids or grandkids, it will cost them. And in some cases lots and lots of money to receive the gift from you. Quick reference Chart