As if there is not enough going on in 2020 – let us not forget that it is a voting year! At the end of last month, a new measure received enough signatures to qualify for the November ballot – and it is one that is going to sound familiar…
The Family Home Protection and Fairness in Property Tax Act that you will see on your ballot this fall is similar to Proposition 5 which voters faced in 2018. Similarly, this year’s ballot measure (IF passed by a majority vote) would expand property tax portability statewide in California for homeowners aged 55 and older who choose to sell – up to 3x. Additional provisions for this year’s measure include:
| Family members transferring homes between them can live in the home to continue to receive the same property tax rate after the ownership change. (The tax rate will not be retained if the home is used as a rental.)
| The measure’s most pressing provision pertains to commercial property sales which would trigger a property tax reassessment when 90% of the direct or indirect ownership in a property changes hands in a single transaction, even if no single entity acquires more than 50% in such a move.
The measure is backed by the California Association of Realtors®, with some projected outcomes provided in the CAR® Fact Sheet below. The campaign for the measure also believes that approval would generate $250 million for local governments in the short term and hundreds of millions of dollars for community services and schools over time. Opposing parties believe that the measure takes away the spirit of Prop. 13 passed in 1978 and unfairly favors residential tax savings while hurting businesses.
Whatever you decide – be sure to vote so you can be heard!
All my best,
NAR Instructor….“Designations Create Distinctions”
CIPS, SRS, ABR, CRS, SRES, GRI, CLHMS,
REI, AHWD, RSPS, MSLG
Bobbi Decker & Associates fully supports the principles of the Fair Housing Act and the Equal Opportunity Act. For more information, please visit: http://portal.hud.gov/