Request for Question Clarification by
cynthia-ga
on
15 Apr 2006 23:18 PDT
California Proposition 13 (1978)
From Wikipedia, the free encyclopedia
http://en.wikipedia.org/wiki/Proposition_13
..."Under Proposition 13, the real estate tax on a parcel of property
is limited to 1% of its assessed value, until the property is resold.
This "assessed value", however, can only be increased by a maximum of
2% per year. If the property's market value increases very rapidly
(many homes in California have seen double-digit appreciation annually
over a period of several years) or if inflation runs higher than 2%
(common), this creates a very big differential in taxes relative to
what new buyers must pay..."
I think it's very clear, the answer is no. From your wording, you
already owned the home with your parents.
..."A few years ago my parents sold their home and bought a
new one with me and my wife..."
At a minimum, you were on title. Your parents then moved and
relinquished their ownership leaving you with the pre-1976 tax rate in
your name alone.
..."After 2 years they moved to an area
outside the county and were able to transfer their pre 1976 tax rate
to me under the parent/child Prop 13 provision..."
You were basically "grandfathered." Now, you want to sell and buy a
different home and keep the rate which is based on a home you [will]
no longer own. No, it doesn't work that way. The new home will have an
assessed value of it's own, from which tax will be due.
The county WANTS you to sell your property. The next owner will pay a
lot more in taxes. And think about that, that's _you_ too, in the new
house, turning over property is the only way they can reassess more
than 2% a year. Every time a Prop 13 property turns over they make a
ton of money. I doubt there's any loophole regarding staying in the
same county.
Did you hear of one?
