Prop 60 Purchasing Replacement Home 55 and older

Selling

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California passed Proposition 60 to provide to qualified

homeowners the transfer of the base-year value of their principal residence to a replacement dwelling located in the same county, under certain circumstances.

The requirements for this exclusion are:

l . At the date of transfer of the original property, the transferor (seller) must be at least 55 years of age. (If married, only one spouse must be at least 55, but must reside in the residence; if co-owners, only one co-owner must be at least 55 and must reside in the residence.)

2.            The replacement property must be purchased or newly constructed on or after November 5, 1986. The replacement residence must be purchased or newly constructed within two years before or after the sale of the original residence.

3.            The sale of the original residence must qualify for reassessment as the result of its transfer.

4.            The principal claimant must have been ( l) receiving, or eligible for, a Homeowner's Exemption or (2) have been receiving a Disabled Veteran's Exemption on the original and replacement residences.

5.            The replacement residence must be "equal to or lesser" in market value than the original residence.

6.            The claimant and/ or claimant's spouse can only be granted relief under this section once.

 

 

Info obtained from 3rd party