Does Proposition 19 apply to a transfer of a rental home?

No, Proposition 19 limits the parent-child exclusion to a transfer of a family home that is the principal residence of the transferor and becomes the principal residence of the transferee.

If a family home is gifted to two children, do both children have to live in the family home as their primary residence in order to receive the new parent-child exclusion under Proposition 19?

It appears that the current intent of the Legislature is to allow the exclusion as long as the parent’s family home becomes the family home of at least one of the children.

Under Proposition 19, if I inherit my parent's family home and move into it as my principal residence, must I continue to live in the home to receive the parent-child exclusion? What happens if I move somewhere else?

Our understanding is that at least one eligible transferee must plan to continually live in the property as his or her family home for the property to maintain the exclusion. Once the property is no longer your family home, it will receive a new taxable value. The new taxable value will be the assessed market value of the home on the date you inherited it and adjusted each year accordingly.

If a property transfer has already been completed under Proposition 58, prior to Proposition 19, will the transfer be reassessed under the new law?

No, Legislation is clear that Proposition 58 applies to transfers that occurred on or before February 15, 2021, and that Proposition 19 applies to transfers that have or will occur on or after February 16, 2021.

FAQs Archive - Page 17 of 17

Does Proposition 19 apply to a transfer of a rental home?
No, Proposition 19 limits the parent-child exclusion to a transfer of a family home that is the principal residence of the transferor and becomes the principal residence of the transferee.

Continue reading
If a family home is gifted to two children, do both children have to live in the family home as their primary residence in order to receive the new parent-child exclusion under Proposition 19?
It appears that the current intent of the Legislature is to allow the exclusion as long as the parent’s family home becomes the family home of at least one of the children.

Continue reading
Under Proposition 19, if I inherit my parent’s family home and move into it as my principal residence, must I continue to live in the home to receive the parent-child exclusion? What happens if I move somewhere else?
Our understanding is that at least one eligible transferee must plan to continually live in the property as his or her family home for the property to maintain the exclusion. Once the property is no longer your family home, it will receive a new taxable value. The new taxable value will be the assessed market

Continue reading
If a property transfer has already been completed under Proposition 58, prior to Proposition 19, will the transfer be reassessed under the new law?
No, Legislation is clear that Proposition 58 applies to transfers that occurred on or before February 15, 2021, and that Proposition 19 applies to transfers that have or will occur on or after February 16, 2021.

Continue reading

Previous 1617

FAQs

Does Proposition 19 apply to a transfer of a rental home?

If a family home is gifted to two children, do both children have to live in the family home as their primary residence in order to receive the new parent-child exclusion under Proposition 19?

Under Proposition 19, if I inherit my parent’s family home and move into it as my principal residence, must I continue to live in the home to receive the parent-child exclusion? What happens if I move somewhere else?

If a property transfer has already been completed under Proposition 58, prior to Proposition 19, will the transfer be reassessed under the new law?

LINKS

AFFILIATIONS