A question I have is does the beneficiary have to be the one who moves in or can it be another family member who is not a direct beneficiary of the trust?
I inherited my brother's home in 2020. He had Prop 13 advantages since the home had belonged to our parents, and he was added when our father passed. When our mother passed, he was grandfathered in to Prop 13 since his name was already on the deed. Since Prop 19 only is given to Parent-Child or Grandparent-Child inheritances, I was not able to take advantage of the changes. Property taxes quadrupled, even though we made it our primary home, and I'm over 55. Prop 19 didn't help me at all. I sold the home in 2022, that was the plan all along. The buyer became upset when they realized that their property taxes were about 5X what my brother had paid and wanted to sue me for the change in property taxes. I hadn't done anything wrong, which was what they first tried to claim. A few months after the home was sold, they tried to get me to sign a document that said I would pay THEIR property taxes in perpetuity, retroactive to the date of sale. Um......no. Didn't sign and said "see you in court". They haven't bothered me since. This is one way people can lose possession of an inherited home.....if they can't pay the property taxes on the reassessed value, you're sunk. I'm not in CA anymore.
God forbid regular middle class people be allowed to keep anything of value. Need that money to pay for illegal aliens and welfare state and $10k public trash cans.
The world is going off its rocker...it is SEVERELY mentally disordered. I am beginning to see why Elon wants to go to Mars. It will take a while before you have neighbors who live close enough to you (if you have Elon's bank account) to drive you crazy!
Prop 19 was a disaster and has resulted in higher rents in a state where rents were already high. The reassessed property taxes were just passed on to the tenants.
There are several factors involved with the rents and the homeless. 1. More and more high tech jobs in California mean more workers are moving in as they graduate universities on the East Coast and Midwest. (Let's face it, most of today's youth want to move to California.) 2. The major cities are essentially built-out and there is no room for more suburbs. 3. For the existing living spaces, supply and demand drive the prices up. 4. Run down apartments evict the tenants, renovate, and charge three times as much for the young high-paid workers. Many of the evicted can't afford any apartments. 5. The developers complain that homelessness is due to liberal environmental restrictions. The restrictions get lifted, and the developers build high tech office spaces (instead of homes). The high tech offices host even more high paying jobs for more people to move here, exacerbating the housing problem. There's not really such a thing as "passing the cost on to the tenants". Rather, rental prices, like all prices, are set by supply and demand. With two adjacent homes being rented for $3k/mo, if one of them gets sold, tripling the property tax, prospective renters will see one house at $3k/mo and the adjacent one at $4k/mo. They will pass on the expensive one. Keep in mind that both homes are renting at $3k/mo because all the similar homes are going at that rate. If suddenly all the homes are renting for $3800/mo, then the two homes will also raise their rents to $3800 regardless of whether the property tax was raised.
You consume resources still, so you still should be taxed. You pay for the fire and police and infrastructure for your community. Just because you finally paid the house off has no relation to why there is a tax. Its not home owners insurance. The problem is, the tax gets jacked up faster than inflation just sitting there, let alone when you sell the home it all gets reassessed. You still need the tax because you exist where you live and that requires some amount of kickback. Its just become a money grab. Many places its not a significant amount, here in CA is stupidly high. My house is $750 per month just for the prop tax. That is more than I used to rent in Atlanta 10 years ago.
@@scstudios8 I would agree with this EXCEPT....Look at my neighbor who gets child credits because they chose to have Kids....I didn't choose that for them....Why should I pay more tax than them because I don't have kids in the house? They use the Police, Fire, infrastructure....Shouldn't everyone pay the same amount for those things? I have no problem paying for Police/Fire but why should I pay a bigger share? That is what is truly B.S.
@@admtahoeYou should pay a bigger share because it is your obligation to future generations to have children. If you don't have children, society will fall apart. Governments know this, and that is why they incentivize people to have children. Also, all children are future tax payers that will contribute to the services that the generations that came before them will use in their old age. Think of it this way, you kick in now so that all the kids who benefit from your taxes can make it to adulthood and start kicking in themselves. However, I get where you're coming from because the things that property taxes are supposed to pay for are producing such poor results and thus are a waste of money.
We were told in a realtor association meeting by the Los Angeles county assessor himself that moving in for one year would not change the taxes indefinitely. The child had to move in and stay in there. Once the child moves out say in a year or 2 years or 3 years the property taxes would go to market value. Double check that for San Diego. I think the Reyes are in for a rude awakening.
Graham, that would be a great question for the San Diego Tax Assessors office, but, I believe that the taxes would remain the same even if the family member moves out of the property
Graham Mathews, what if a family member was 55 or older, moved in and then later sold the home to move to the place he wanted in California, would tht person then maintain his tax basis. I don't see a problem with that.
@@HouseGuide That's a great question and an interesting senerio. I would assume that might be a way to work around being permanently tied to your parent's old property. I don't know the answer to that, but recommend you ask the county assessor's office where your property is located. Thanks for that question.
The states with no state estate tax as of mid-2023, are Alabama, Alaska, Arizona, Arkansas, California, Colorado, Delaware, Florida, Georgia, Idaho, Indiana, Kansas, Louisiana, Michigan, Mississippi, Missouri, Montana, Nevada, New Hampshire, New Mexico, North Carolina, North Dakota, Ohio, Oklahoma, South Carolina, ..
@@moorefacts6605 That's not what she is pointing out. She saying the propositions are changing when you inherit your parents property the tax would stay the same as your parents paid. Now the state reevaluates the property . You pay much higher property taxes if you keep the property.
The states with no state estate tax as of mid-2023, are Alabama, Alaska, Arizona, Arkansas, California, Colorado, Delaware, Florida, Georgia, Idaho, Indiana, Kansas, Louisiana, Michigan, Mississippi, Missouri, Montana, Nevada, New Hampshire, New Mexico, North Carolina, North Dakota, Ohio, Oklahoma, South Carolina, ..
Where can we find more info on the one year loophole; didn’t see that. Seemed to read primary residence as to avoid becoming a rental with a tax benefit
@jeffsadon552 - you should know that the California Association of Realtors (CAR) spent $35.7M on getting this prop passed to increase the number of Real Estate transactions which would naturally line the pockets of Real Estate Agents, Brokers and CAR... Quoted from CAR website Did You know? Did you know that Proposition 19 will spur housing economic recovery in California? Proposition 19 limits property tax increases on primary residences for family transfers, homeowners over 55 years old, people with severe disabilities, and victims of natural disasters or wildfires by removing unfair location and price restrictions. This will open up tens of thousands of housing opportunities, making homes more readily available for first-time homeowners, families, and Californians throughout the state. Less Than One Week Until Election Day… All voters in California should have received their mail-in ballots, and early voting is happening across the state. Now is the time to encourage your friends and colleagues to vote for Proposition 19. www.car.org/knowledge/brokers/Prop-19 and, external information on the dollar amount www.housingwire.com/articles/why-car-campaigned-for-californias-proposition-19
@@willieverusethisYes it was on the ballot. But it’s a trick by the state of California at the same time. According to constitutional law the state and federal government are out of pocket because at the end of the day is illegal to tax property according to the constitution.
Yeah, I'm glad you caught that one, Ron. Who wrote the script? Who edited it for accuracy? Glaring mistakes like this don't build trust, that's for sure. I would not want them to fill out a purchase agreement on my behalf!
California has a government budget problem , they can't even fix the roads. Now have no state income tax, 2 homes and a lake front , good luck staying in Comi Cali .
Yall in California act like everything is fine and dandy when companies are leaving in droves, small businesses are closing, Oakland is about to go bankrupt and your state is in a 55 BILLION dollar budget deficit. Quit acting like things are fine.
The example of moving into the home for 1 year to avoid a Prop 19 reassessment is not accurate. To clarify, the family member has 12 months to make the inherited home his or her primary residence. The 12 month clock starts on the date of death. The assessors office will also require the family member to record a homeowners exemption to further evidence it's owner occupied status. If at any time the home fails to maintain it's owner occupied status, it will be subject to reassessment under Prop 19. This is true regardless of if the family member has lived there for more than 1 year or not.
Yes. This was my understanding too. Got a year after death to get a beneficiary to move in. This video made me doubt what I thought I knew. A beneficiary needs to keep it owner occupied forever to retain the low taxes.
Why should we be giving people tax breaks on their second, third, fourth homes, while all first time buyers have to pay the full tax rate? It doesn't make any sense.
If your A Corporation and have multiple homes or if your just rich and own lots and lots of Real-estate. It's makes sense because it saves the rich and screws the poor with One home.
It’s taking about an inherited home after a death, so it’s not a second home, and the property tax then is brought to market. The real problem is the property tax overall is too high. People can’t keep the inherited home due to the higher tax rate.
@@toneyo4794 This is why Property taxes in United States need to be Abolished. It's a very unfair tax to a family that loses their parents in an accident and the kids have to sell the home because they cannot afford to live there after home is paid off because of taxes. Or an older person that has little income is forced to be homeless or live in an old age home where Tax Payers pay millions to keep her till she passes but won't Abolish her taxes. Insane how Corporate America keeps on screwing us. Not taxes on your first home or the home you reside in.nIts not that hard.
If a grandson has been living in the house for 2 years to take care of grandma would he be able to keep the current tax rate ? Would it help if the daughter and grandson were both added to the title of the property ?
If you do that, you run into some potentially serious problems. If your grandchild or daughter is added to the title, you could lose your home if either of them were sued and lost the suit! See an estate attorney to learn ways of accomplishing your goals without potentially jeopardizing your home!
@@Joe_At_Empire_Marketing_Group If you start fooling around with title with the grand kids. You might be causing problems with now you have capital gain problems with the kids on the death or inheritance. If it stayed in grandma name. It take the the valuation on the death of grandma for capital gain. So no capital gains. You should consult an attorney for a one hour conference.. Money will spent.
I supported Prop 19 because it provided loopholes used by businesses to avoid property tax increases on transfers that had nothing to do with families. The fact that is narrowed the benefit to primary residences that were lived in by specific people after sale eliminates a lot of the loophole strategies.
the way I am hearing (as a CA resident and home owner) prop 19 did exactly what it was supposed to do. Limit inherited benefits, trying to fix distorted market. Good.
My prop taxes go up over 2% every other year in CA. There are so many loopholes that they find one thing or another to say, oh, well, this happened, so we can raise it over 2% this year, and the next, and then again. Did you paint your house, OOOOHHH thats home improvement, we will raise your taxes. DId you pull a permit WAIT A MINUTE, thats home improvement, lets raise it again. Did the value of the home go up due to increased home prices, OOOOHHH MY GOD, lets raise your property taxes. Did you do a refi, F U, raise the tax.......Its a joke.
The reason the taxes go up is because the value of the property has gone up. What did you buy it for, and what is it worth now? I imagine it has increased in value far more than the 1% per year you are paying taxes for. In other states, you have to pay the full taxes on the actual value of the house.
@@willieverusethis The other reason our property taxes increased is because, during covid, the federal dollars came pouring in, the Legislature started dozens of 'free' programs, and didn't have the intestinal fortitude to stop them when the federal money dried up.
@@LWRC I agree with you, it’s commiefornia now. I am a 75 yr old native. These bleeding heart liberal tack on junk to bills and the general population has no idea. Prop 19 needs a reform.
Read it and weep MAGA; The states with no state estate tax as of mid-2023, are Alabama, Alaska, Arizona, Arkansas, California, Colorado, Delaware, Florida, Georgia, Idaho, Indiana, Kansas, Louisiana, Michigan, Mississippi, Missouri, Montana, Nevada, New Hampshire, New Mexico, North Carolina, North Dakota, Ohio, Oklahoma, South Carolina, ..
What these right-wingers (read billionaires who inherited most of their money) call the "death tax" is in fact the estate tax, and is a way of society covering some of the costs of supporting people who never sell assets. The police and fire department, plus the local school, library and park, are not free, though the billionaires would prefer not to pay.
Father in laws home in Hemet was in a revocable living trust, he died July 2023, the home was sold in January 2024. We were shocked that the property tax for the seller was reassessed to selling price. Prop 19 sucks. It needs to be modified. What is the use of the trust , doesn’t avoid higher taxes. What would have been better than a trust?
The trust saves you from the delays and expense of probate. It doesn't save you from having the property reassessed at the stepped up bases. You have to move into the home and establish it as your primary residence in order to inherit it without having the taxes raised.
Prop 19, @3:49 Then if it's not your primary residence like a rental unit. Then the owner should be allowed to bring the rents to current market value! That's only fair.
I believe there's a cap on rent increases. Yes it's not fair and they're going to get the house on the market or get the huge taxes...or both if you sell.
In a lot of areas in CA, the prop 13 property tax at 1% ad valorem, were tacked on another 1% to no more than 1.5% of the ad valorem when you first purchased the property. Then they calculate the new tax each year based upon that prop 13 and the Mello Roos tax. So your property TAX increases 2 to 2,5%. The idea for the MR is to encourage building (and dust). So when you buy a property for seniors to move in , the Mello Roos tax will be assessed. Now if the old house did not have a MR tax, will the new residence have one? if so 1-1.5% of the value of the new home? No wonder there is a mass exodus egress of people out of CA. I always thought that us seniors must sell our homes and when we move to another newly purchased home (has a higher fair market value than the sold home).
Sure, lets screw the hard working people of CA because it needs more money to take care of millions of people that came in illegally. Just imagine how much this is costing us considering we have the 5th largest economy in the world and our Governor has to scoop to these low levels to help pay for it all.
Nobody likes to pay higher taxes. However, where the funds come from? Who is going to pay for. The local school? Who is going to pay to maintain the public roads?
What about people who are 55 plus who own a property as their primary residence here in San Diego and then inherit a home from a parent in SD but don’t plan on living in the inherited home and renting it out, does the tax rate stay the same?
Nope. They have to move in immediately to avoid step up and can at least keep their old house and rent it. Their kids will get the shaft unless they move in immediately after death.
Does inheriting give the heirs a stepped up value while keeeping the low tax base? Staying in the home for a year under Prop 19 rules and then you decide to sell, can you port that tax base to the new home?
??? My daughter and my son in law have good jobs and have a great credit scores, however, they have been trying to buy a home, when the interest rate went up, they knew it was impossible to buy! I have a home I have in a Living Trust, with all of the laws changing, I want to leave our home to my daughter and her family when my husband and I pass away. My question is, will they be able to keep the property taxes I currently pay? Of course the raised 2% per year? And if they decide to sell it to purchase their own home with the equity in my home, will they pay taxes on that as income? Not sure of what advice to give them. We are in our late 60’s early 70’s I appreciate any and all advice and feedback. Thank you.
what if the owner moved into one of his/her non-owner occupied houses for a few years? Does that make it her new primary residence and does that abate the higher reassessment?
Once upon a time, 1400AD, there was a King and sent His Constubal out to collect Taxes. However, the citizens didn't have enough to satisfy the King. So, the King sent out His Constubal again, but this time He told the Constubal to take the farmer's Pig. The farmer replied; "if you take my Pig...I will not be able to feed the King." The Constubal being concerned said; "what?" The farmer explained that the Shit Sandwiches that He has been feeding the King...come from the PIG😂😂😂😂😂😂😂😂
Property Tax was created a 1000 years ago by William the Conqueror (first British King), or as I know him, the King of Feudalism. Let that sink in for you.
"Death Tax" huh. It is property tax that changes with ownership and property value. Freezing the rate with Prop 13 was the original error, not that the idea was bad, just not well thought out, and not sustainable.
I have siblings, a brother and sister who are 10 years younger, but I believe from what this says it will not help because they are not my son or daughter..?
dont think moving in as primary keeps same tax just allows you to deduct $1,000,000 from the assessment for the new tax value so in your bungalow example of $1.1M that is great as the assessment is $100,000 BUT say value was $3M then assessment would be $2M ... better but still not what it was under prop 13 !!! Prop 19 needs to be repealed !!!
Does the tax go up after a child stays in the property for a year? Or is that the only thing someone has to do? I think over one million it's moot. So I'm asking if before it hits a million.
On no, someone who gets a property for free is going to have to pay the same property tax as someone who buys it with their own hard earned money? How faIr is that?
What if you add a adult child’s name to the title that is not residing at the property? Would this enable the kids to keep the taxes at the original amount?
Michelle, good question...again, I would reach out to the SD county tax assessor for accurate information. I'd also be cautious about adding just one of the potential beneficiaries to the deed.
@@ProbateandTrustHelp true, even though my three kids are best friends to this day (36,38, and41). Some families will cut each others throats in these matters, but with my kids, if I only put one name down with a verbal understanding it goes to all three, I can see hurt feelings as to why mom chose the one child’s name over the other 2. I would rather avoid that. Thank you for your kind reply
Washington has a 1% land tax without a prop 13 and they have no state income tax. People vote in special assessments that can go up into the 1000's.. currently l pay am extra 1000 dollars a year on top of my land taxes. I don't know how eashington does it but prop 13 isn't the problem.l voted against it because it included property that corporations owned. I don't think the7 should have been included. There are plenty of states with liw land taxes and they do fine. And yes you can point out some red states that tax low but they also offer very little help to their peopel either, so stop now.
Stop being a crybaby. When you inherit a property why should you get a financial advantage over new home buyers who are carrying the burden of funding the government. You can sell the property if you do not want to pay the higher rate.
Hmmm... and who will buy that home? Perhaps an overseas buyer/investor group that may have supported our governor? Are you seeing it now? It's... happening...
Proposition 19 was put into law, as all California propositions are, by voters, NOT the legislature. This is one more argument against democracy: the people did this, not their elected representatives.
Or is it an arguement for democracy? Why should the family have discounted taxes forever compared to other people who buy homes in the current market? Mostly they turn them into short-term-rentals anyway. Prop 19 makes the field a bit more level if they aren't going to continue living in the house, or at least uphill the same for all.
Yes, it would be nice for all the states to have the wealth that California has. Teslas everywhere you look and crowded clubs and fine restaurants. California, the 4th largest economy in the world. It is not easy to manage a giant diverse state where one out of eight American citizens live, 40 million people. The vast majority of California's population is doing very well. We are overpopulated so I'm happy that the other states will be sharing more of the country's population.
Prop 13 protections have made middle class homeowners in CA into millionaires. We pay less in property taxes than just about anyone else in the country, and our property values have skyrocketed, making us rich.
California used to be paradise back 50 years ago. Now I live out side the US in an other Paradise, low taxes, no weirdo woke stuff, stable prices, people nice , Republican, and lots of freedom.
A question I have is does the beneficiary have to be the one who moves in or can it be another family member who is not a direct beneficiary of the trust?
The beneficiary must move in forever.
She said the beneficiary must live there for a year
I inherited my brother's home in 2020. He had Prop 13 advantages since the home had belonged to our parents, and he was added when our father passed. When our mother passed, he was grandfathered in to Prop 13 since his name was already on the deed. Since Prop 19 only is given to Parent-Child or Grandparent-Child inheritances, I was not able to take advantage of the changes. Property taxes quadrupled, even though we made it our primary home, and I'm over 55. Prop 19 didn't help me at all. I sold the home in 2022, that was the plan all along. The buyer became upset when they realized that their property taxes were about 5X what my brother had paid and wanted to sue me for the change in property taxes. I hadn't done anything wrong, which was what they first tried to claim. A few months after the home was sold, they tried to get me to sign a document that said I would pay THEIR property taxes in perpetuity, retroactive to the date of sale. Um......no. Didn't sign and said "see you in court". They haven't bothered me since. This is one way people can lose possession of an inherited home.....if they can't pay the property taxes on the reassessed value, you're sunk. I'm not in CA anymore.
God forbid regular middle class people be allowed to keep anything of value. Need that money to pay for illegal aliens and welfare state and $10k public trash cans.
The world is going off its rocker...it is SEVERELY mentally disordered. I am beginning to see why Elon wants to go to Mars. It will take a while before you have neighbors who live close enough to you (if you have Elon's bank account) to drive you crazy!
How do you think it works in every state?
Why would your buyers think you would pay their property taxes for them ? 🤷🏻♂️
Congratulations 🎊🍾🎉! You were able to escape Commiefornia relatively unscathed!!! I am planning my escape from The Un-Golden State!
Prop 19 was a disaster and has resulted in higher rents in a state where rents were already high. The reassessed property taxes were just passed on to the tenants.
It hasn't even really hit the fan yet. It's going to skyrocket as more people die.
There are several factors involved with the rents and the homeless.
1. More and more high tech jobs in California mean more workers are moving in as they graduate universities on the East Coast and Midwest. (Let's face it, most of today's youth want to move to California.)
2. The major cities are essentially built-out and there is no room for more suburbs.
3. For the existing living spaces, supply and demand drive the prices up.
4. Run down apartments evict the tenants, renovate, and charge three times as much for the young high-paid workers. Many of the evicted can't afford any apartments.
5. The developers complain that homelessness is due to liberal environmental restrictions. The restrictions get lifted, and the developers build high tech office spaces (instead of homes). The high tech offices host even more high paying jobs for more people to move here, exacerbating the housing problem.
There's not really such a thing as "passing the cost on to the tenants". Rather, rental prices, like all prices, are set by supply and demand. With two adjacent homes being rented for $3k/mo, if one of them gets sold, tripling the property tax, prospective renters will see one house at $3k/mo and the adjacent one at $4k/mo. They will pass on the expensive one.
Keep in mind that both homes are renting at $3k/mo because all the similar homes are going at that rate. If suddenly all the homes are renting for $3800/mo, then the two homes will also raise their rents to $3800 regardless of whether the property tax was raised.
Property paid in full shouldn't be taxed
You consume resources still, so you still should be taxed. You pay for the fire and police and infrastructure for your community. Just because you finally paid the house off has no relation to why there is a tax. Its not home owners insurance. The problem is, the tax gets jacked up faster than inflation just sitting there, let alone when you sell the home it all gets reassessed. You still need the tax because you exist where you live and that requires some amount of kickback. Its just become a money grab. Many places its not a significant amount, here in CA is stupidly high. My house is $750 per month just for the prop tax. That is more than I used to rent in Atlanta 10 years ago.
can't get away from property taxes.
@@scstudios8 I would agree with this EXCEPT....Look at my neighbor who gets child credits because they chose to have Kids....I didn't choose that for them....Why should I pay more tax than them because I don't have kids in the house? They use the Police, Fire, infrastructure....Shouldn't everyone pay the same amount for those things? I have no problem paying for Police/Fire but why should I pay a bigger share? That is what is truly B.S.
Heck, it should only be taxed once! Not over and over and over again. I understand local taxes, but "what the hell" with the rest...?!
@@admtahoeYou should pay a bigger share because it is your obligation to future generations to have children. If you don't have children, society will fall apart. Governments know this, and that is why they incentivize people to have children. Also, all children are future tax payers that will contribute to the services that the generations that came before them will use in their old age. Think of it this way, you kick in now so that all the kids who benefit from your taxes can make it to adulthood and start kicking in themselves. However, I get where you're coming from because the things that property taxes are supposed to pay for are producing such poor results and thus are a waste of money.
We were told in a realtor association meeting by the Los Angeles county assessor himself that moving in for one year would not change the taxes indefinitely. The child had to move in and stay in there. Once the child moves out say in a year or 2 years or 3 years the property taxes would go to market value. Double check that for San Diego. I think the Reyes are in for a rude awakening.
Your explanation is my understanding as well. Thanks!
Graham, that would be a great question for the San Diego Tax Assessors office, but, I believe that the taxes would remain the same even if the family member moves out of the property
Graham Mathews, what if a family member was 55 or older, moved in and then later sold the home to move to the place he wanted in California, would tht person then maintain his tax basis. I don't see a problem with that.
@@HouseGuide That's a great question and an interesting senerio. I would assume that might be a way to work around being permanently tied to your parent's old property. I don't know the answer to that, but recommend you ask the county assessor's office where your property is located. Thanks for that question.
Excellent.
Newsome!! Vote him out people!!! Good grief!!!
Won't matter. Cali cannot be fixed in your lifetime.
I love how people complain about things they voted for.
Not everyone voted for this Einstein
lol 😂
I voted against it!!
They always want to blame others for their ignorance.
@@michellebayon2387Liberalism advocate, Kevin Mullin , Democrat, authored CA Prop 19.
Just another reason I left California
The states with no state estate tax as of mid-2023, are Alabama, Alaska, Arizona, Arkansas, California, Colorado, Delaware, Florida, Georgia, Idaho, Indiana, Kansas, Louisiana, Michigan, Mississippi, Missouri, Montana, Nevada, New Hampshire, New Mexico, North Carolina, North Dakota, Ohio, Oklahoma, South Carolina, ..
@@moorefacts6605 That's not what she is pointing out. She saying the propositions are changing when you inherit your parents property the tax would stay the same as your parents paid. Now the state reevaluates the property . You pay much higher property taxes if you keep the property.
@@jeffprostar1909 So What, if I buy one I have to pay
@@markskibo5159For those who enjoy paying higher taxes, then Kevin Mullin, Democrat, author of Prop 19, is YOUR man !
So you made California a better place by leaving.. hahahaha
Thank you Gavin Newsom
The states with no state estate tax as of mid-2023, are Alabama, Alaska, Arizona, Arkansas, California, Colorado, Delaware, Florida, Georgia, Idaho, Indiana, Kansas, Louisiana, Michigan, Mississippi, Missouri, Montana, Nevada, New Hampshire, New Mexico, North Carolina, North Dakota, Ohio, Oklahoma, South Carolina, ..
Where can we find more info on the one year loophole; didn’t see that. Seemed to read primary residence as to avoid becoming a rental with a tax benefit
@@moorefacts6605 This isn't an estate tax. It's just a regular reassessment of property taxes.
@jeffsadon552 - you should know that the California Association of Realtors (CAR) spent $35.7M on getting this prop passed to increase the number of Real Estate transactions which would naturally line the pockets of Real Estate Agents, Brokers and CAR...
Quoted from CAR website
Did You know?
Did you know that Proposition 19 will spur housing economic recovery in California? Proposition 19 limits property tax increases on primary residences for family transfers, homeowners over 55 years old, people with severe disabilities, and victims of natural disasters or wildfires by removing unfair location and price restrictions. This will open up tens of thousands of housing opportunities, making homes more readily available for first-time homeowners, families, and Californians throughout the state.
Less Than One Week Until Election Day…
All voters in California should have received their mail-in ballots, and early voting is happening across the state. Now is the time to encourage your friends and colleagues to vote for Proposition 19.
www.car.org/knowledge/brokers/Prop-19
and, external information on the dollar amount
www.housingwire.com/articles/why-car-campaigned-for-californias-proposition-19
He has his eyes on the White House! And the soccer moms love him!
Taxation without representation.
Um, Prop 19 was voted in by Californians directly.
@@willieverusethisProp 19 Was authored by Kevin Mullin, Democrat, monger of imposing big tax on home owners.
@@willieverusethisYes it was on the ballot. But it’s a trick by the state of California at the same time. According to constitutional law the state and federal government are out of pocket because at the end of the day is illegal to tax property according to the constitution.
Sounds about right in Ca. She said a $500,000.00 house would have $600,000.00 taxes.
Yeah, I'm glad you caught that one, Ron. Who wrote the script? Who edited it for accuracy? Glaring mistakes like this don't build trust, that's for sure. I would not want them to fill out a purchase agreement on my behalf!
I thought I heard it wrong the first time. Guess they work for the government
She meant 6,000
lmao I thought she was being sarcastic.
@@kittycat6195 Are you sure, kitty?
Money Grab
Thats why Im leaving CA when I retire in three years.
So, Cali still gets their CA 540 taxes for 3 more years....excellent decision...
@@saintpreferred9223 I’m in PERS. I have to wait three more for it to make sense. I’d love to be done now but it would be stupid.
Sold everything and left Comi Cali in 2012
They now have highest income tax in the country and their still broke!
Um, not broke. CA’s economy is #5 in the WORLD. Glad you left if you didn’t like it here. Happy landings.
California has a government budget problem , they can't even fix the roads.
Now have no state income tax, 2 homes and a lake front , good luck staying in Comi Cali .
@@cawreshist1019 sounds like you're still living here in your head.
@@cawreshist1019you left CA so stop thinking or talking about us dude.. You’re like that lame guy who can’t get over his ex 😂
Yall in California act like everything is fine and dandy when companies are leaving in droves, small businesses are closing, Oakland is about to go bankrupt and your state is in a 55 BILLION dollar budget deficit. Quit acting like things are fine.
The example of moving into the home for 1 year to avoid a Prop 19 reassessment is not accurate. To clarify, the family member has 12 months to make the inherited home his or her primary residence. The 12 month clock starts on the date of death. The assessors office will also require the family member to record a homeowners exemption to further evidence it's owner occupied status. If at any time the home fails to maintain it's owner occupied status, it will be subject to reassessment under Prop 19. This is true regardless of if the family member has lived there for more than 1 year or not.
thank you for correcting this inaccurate Video
Yes. This was my understanding too. Got a year after death to get a beneficiary to move in. This video made me doubt what I thought I knew. A beneficiary needs to keep it owner occupied forever to retain the low taxes.
from Sacramento w/love..... BOHICA....
bohica memories!
Why should we be giving people tax breaks on their second, third, fourth homes, while all first time buyers have to pay the full tax rate? It doesn't make any sense.
If your A Corporation and have multiple homes or if your just rich and own lots and lots of Real-estate. It's makes sense because it saves the rich and screws the poor with One home.
It’s taking about an inherited home after a death, so it’s not a second home, and the property tax then is brought to market. The real problem is the property tax overall is too high. People can’t keep the inherited home due to the higher tax rate.
@@toneyo4794 This is why Property taxes in United States need to be Abolished. It's a very unfair tax to a family that loses their parents in an accident and the kids have to sell the home because they cannot afford to live there after home is paid off because of taxes. Or an older person that has little income is forced to be homeless or live in an old age home where Tax Payers pay millions to keep her till she passes but won't Abolish her taxes. Insane how Corporate America keeps on screwing us.
Not taxes on your first home or the home you reside in.nIts not that hard.
If a grandson has been living in the house for 2 years to take care of grandma would he be able to keep the current tax rate ?
Would it help if the daughter and grandson were both added to the title of the property ?
If you do that, you run into some potentially serious problems. If your grandchild or daughter is added to the title, you could lose your home if either of them were sued and lost the suit!
See an estate attorney to learn ways of accomplishing your goals without potentially jeopardizing your home!
@@Joe_At_Empire_Marketing_Group If you start fooling around with title with the grand kids. You might be causing problems with now you have capital gain problems with the kids on the death or inheritance. If it stayed in grandma name. It take the the valuation on the death of grandma for capital gain. So no capital gains. You should consult an attorney for a one hour conference.. Money will spent.
You guys voted them in
I haven't voted for a single one of the morons currently running my state.
I supported Prop 19 because it provided loopholes used by businesses to avoid property tax increases on transfers that had nothing to do with families. The fact that is narrowed the benefit to primary residences that were lived in by specific people after sale eliminates a lot of the loophole strategies.
Newssss. getting that same directives from Canada’s Trudeau
the way I am hearing (as a CA resident and home owner) prop 19 did exactly what it was supposed to do. Limit inherited benefits, trying to fix distorted market. Good.
My prop taxes go up over 2% every other year in CA. There are so many loopholes that they find one thing or another to say, oh, well, this happened, so we can raise it over 2% this year, and the next, and then again. Did you paint your house, OOOOHHH thats home improvement, we will raise your taxes. DId you pull a permit WAIT A MINUTE, thats home improvement, lets raise it again. Did the value of the home go up due to increased home prices, OOOOHHH MY GOD, lets raise your property taxes. Did you do a refi, F U, raise the tax.......Its a joke.
Ours went up 11 percent this year alone - all the Bernie Sanders robots are getting what they voted for.
The reason the taxes go up is because the value of the property has gone up. What did you buy it for, and what is it worth now? I imagine it has increased in value far more than the 1% per year you are paying taxes for. In other states, you have to pay the full taxes on the actual value of the house.
@@willieverusethis The other reason our property taxes increased is because, during covid, the federal dollars came pouring in, the Legislature started dozens of 'free' programs, and didn't have the intestinal fortitude to stop them when the federal money dried up.
The joke is on you, you're living in CA. You must be a Dem.
Thank you Ms. Ward. This is exactly the information that I needed when I consult with my estate planner.
Glad it was helpful! Thank you for watching, and commenting.
This is what liberal insanity has done to people of Kalifornia!!!
What's insane about this?
@@LWRC I agree with you, it’s commiefornia now. I am a 75 yr old native. These bleeding heart liberal tack on junk to bills and the general population has no idea. Prop 19 needs a reform.
Read it and weep MAGA; The states with no state estate tax as of mid-2023, are Alabama, Alaska, Arizona, Arkansas, California, Colorado, Delaware, Florida, Georgia, Idaho, Indiana, Kansas, Louisiana, Michigan, Mississippi, Missouri, Montana, Nevada, New Hampshire, New Mexico, North Carolina, North Dakota, Ohio, Oklahoma, South Carolina, ..
@@moorefacts6605 how idiot can you be. You clearly don't watch the video
It's pretty reasonable for people who inherit property to have to pay the same property tax as someone who buys it.
Time for a family trust
What these right-wingers (read billionaires who inherited most of their money) call the "death tax" is in fact the estate tax, and is a way of society covering some of the costs of supporting people who never sell assets. The police and fire department, plus the local school, library and park, are not free, though the billionaires would prefer not to pay.
Father in laws home in Hemet was in a revocable living trust, he died July 2023, the home was sold in January 2024. We were shocked that the property tax for the seller was reassessed to selling price. Prop 19 sucks. It needs to be modified. What is the use of the trust , doesn’t avoid higher taxes. What would have been better than a trust?
Same here, my mom died last year and we just sold the house. Her taxes were $900 a years and we got hit with a $7,300 tax bill!
The trust saves you from the delays and expense of probate. It doesn't save you from having the property reassessed at the stepped up bases. You have to move into the home and establish it as your primary residence in order to inherit it without having the taxes raised.
@@222mrobinWas that just for one year, since the residence was sold? If it is sold, the buyer takes over the tax payment, as you know.
It's always been that way. The tax basis has never transferred to a new buyer.
It had to be in an irrevocable trust before a certain day and the government is trying to get around that now.
property tax increasing is criminal
No one would ever "game" the system. Yeah, right.
Prop 19, @3:49 Then if it's not your primary residence like a rental unit. Then the owner should be allowed to bring the rents to current market value! That's only fair.
I believe there's a cap on rent increases. Yes it's not fair and they're going to get the house on the market or get the huge taxes...or both if you sell.
In a lot of areas in CA, the prop 13 property tax at 1% ad valorem, were tacked on another 1% to no more than 1.5% of the ad valorem when you first purchased the property. Then they calculate the new tax each year based upon that prop 13 and the Mello Roos tax. So your property TAX increases 2 to 2,5%. The idea for the MR is to encourage building (and dust). So when you buy a property for seniors to move in , the Mello Roos tax will be assessed. Now if the old house did not have a MR tax, will the new residence have one? if so 1-1.5% of the value of the new home? No wonder there is a mass exodus egress of people out of CA. I always thought that us seniors must sell our homes and when we move to another newly purchased home (has a higher fair market value than the sold home).
Sure, lets screw the hard working people of CA because it needs more money to take care of millions of people that came in illegally. Just imagine how much this is costing us considering we have the 5th largest economy in the world and our Governor has to scoop to these low levels to help pay for it all.
Guaranteed rental increases yearly because of rhis Prop 19. Great News for long time landlords.
Nobody likes to pay higher taxes. However, where the funds come from? Who is going to pay for. The local school? Who is going to pay to maintain the public roads?
We can all thank Gavin Newsom for that, now you know why so many people are leaving California than there are moving in.
Blame Newsome and the democratic party in Cali.
What about people who are 55 plus who own a property as their primary residence here in San Diego and then inherit a home from a parent in SD but don’t plan on living in the inherited home and renting it out, does the tax rate stay the same?
Nope. They have to move in immediately to avoid step up and can at least keep their old house and rent it. Their kids will get the shaft unless they move in immediately after death.
Not a problem moving to a location where tax is .0298 percent...
Gavin and the dorks in the legislature claim that this law could not be undone.
Get on title. I see it all the time
Useful.
Glad you think so!
Don't ask me what I want it for
(Ah, ah, Mr. Wilson)
If you don't want to pay some more
(Ah, ah, Mr. Heath)
Glue the pennies on your eyes.
❤ does this also include homes in a trust passed to a child?
Does inheriting give the heirs a stepped up value while keeeping the low tax base? Staying in the home for a year under Prop 19 rules and then you decide to sell, can you port that tax base to the new home?
??? My daughter and my son in law have good jobs and have a great credit scores, however, they have been trying to buy a home, when the interest rate went up, they knew it was impossible to buy! I have a home I have in a Living Trust, with all of the laws changing, I want to leave our home to my daughter and her family when my husband and I pass away. My question is, will they be able to keep the property taxes I currently pay? Of course the raised 2% per year? And if they decide to sell it to purchase their own home with the equity in my home, will they pay taxes on that as income? Not sure of what advice to give them. We are in our late 60’s early 70’s I appreciate any and all advice and feedback. Thank you.
what if the owner moved into one of his/her non-owner occupied houses for a few years? Does that make it her new primary residence and does that abate the higher reassessment?
Once upon a time, 1400AD, there was a King and sent His Constubal out to collect Taxes. However, the citizens didn't have enough to satisfy the King. So, the King sent out His Constubal again, but this time He told the Constubal to take the farmer's Pig. The farmer replied; "if you take my Pig...I will not be able to feed the King." The Constubal being concerned said; "what?" The farmer explained that the Shit Sandwiches that He has been feeding the King...come from the PIG😂😂😂😂😂😂😂😂
Property Tax was created a 1000 years ago by William the Conqueror (first British King), or as I know him, the King of Feudalism. Let that sink in for you.
Hi what are the taxes after passing with a trust when are no taxes in a mobile home just Dmv fees? Txs urs h
I suggest speaking with a tax advisor to get a clear idea of this, as I don't handle mobile home sales. Thank you for watching and commenting.
Ef Kalifornia. no wonder theres so many homeless...
Our son is deceased. Can his daughter inherit and move in for one year to keep the Prop 13 benefits ?
they will tax you for thinking very soon and still won’t be able to balance a budget !
"Death Tax" huh. It is property tax that changes with ownership and property value. Freezing the rate with Prop 13 was the original error, not that the idea was bad, just not well thought out, and not sustainable.
I have siblings, a brother and sister who are 10 years younger, but I believe from what this says it will not help because they are not my son or daughter..?
Let’s tax lawmakers every time they take dump in the toilet.
If I place my mother into assisting living facility and she passes, do I as the child/property still under prop13?
Talk about stealing from the deceased wishes the government has no shame
dont think moving in as primary keeps same tax just allows you to deduct $1,000,000 from the assessment for the new tax value so in your bungalow example of $1.1M that is great as the assessment is $100,000 BUT say value was $3M then assessment would be $2M ... better but still not what it was under prop 13 !!!
Prop 19 needs to be repealed !!!
Does the tax go up after a child stays in the property for a year? Or is that the only thing someone has to do? I think over one million it's moot. So I'm asking if before it hits a million.
I voted against this proposition back in 2020 but I suppose people are stupid and like to pay thousands of dollars in extra property taxes every year.
I (and most of us) do pay those high taxes because my father didn't buy the house back when taxes were low...so how is that stupid?
All of Californias empty houses are a problem for inventory and affordability.
We really don't have very many empty houses in San Diego and we still have low inventory.
@@ProbateandTrustHelp in Santa Cruz there are many
That's why they let squatters break in and stay. Keep it rented or you could lose everything.
I'll never vote for Neusome again because of Prop 19.
Thanks.
Excellent!! So glad that they are finally taxing inherited wealth
If you are inheriting a house free and clear, paying extra property tax is not that burdensome
Why do property taxes have to be so excessive in California? Who is getting the benefit of these high taxes?
Property taxes are excessive in California?
Not the taxpayers that’s for sure.
What happens if the person/child moves out after a year. Does the property get reassessed then.
Yes
What is this band in the background playing? I can’t barely follow what you’re saying.
thanks for letting us know, we will adjust in future videos.
It was not clear to me. Do they have to move in for a year before the person dies or after?
Forever.
I thought prop 13 put a 1% cap on property tax, not 2%. Am I wrong?
Prop 19 was a sneaky way to destroy prop 13.
Great info but you took way too long long to get to info that people need gotta go
What happens after a year?
You know just enough to be misleading.
This is one of the reasons I don’t like in California anymore!!!!!
PROPERTY PAID IN FULL SHOULD NEVER BE TAXED. RIDULOUS.
The background "music" droning on in the background of your video was horrible. I couldn't get past the first minute before getting frustrated.
thank you, I'll remember that when editing our videos in the future.
Leaving a state of madness seems like the sane thing to do.
Newsom is doing good. 😢😢😢
Do you deal with capital gains issues too?
I'm sorry, do you mean me specifically, or the state of california?
@@ProbateandTrustHelp I mean you. We should probably have a conversation asap.
On no, someone who gets a property for free is going to have to pay the same property tax as someone who buys it with their own hard earned money? How faIr is that?
What if you add a adult child’s name to the title that is not residing at the property? Would this enable the kids to keep the taxes at the original amount?
Michelle, good question...again, I would reach out to the SD county tax assessor for accurate information. I'd also be cautious about adding just one of the potential beneficiaries to the deed.
Adding a child could spark a reassessment while you are living there. I'd be very careful.
@@ProbateandTrustHelp true, even though my three kids are best friends to this day (36,38, and41). Some families will cut each others throats in these matters, but with my kids, if I only put one name down with a verbal understanding it goes to all three, I can see hurt feelings as to why mom chose the one child’s name over the other 2. I would rather avoid that. Thank you for your kind reply
@@michellejoy6752 Believe me everything changes when there is a will!!!
you need to sell your home and leave California as I did. The state has become a nightmare to live in.
Washington has a 1% land tax without a prop 13 and they have no state income tax. People vote in special assessments that can go up into the 1000's.. currently l pay am extra 1000 dollars a year on top of my land taxes. I don't know how eashington does it but prop 13 isn't the problem.l voted against it because it included property that corporations owned. I don't think the7 should have been included. There are plenty of states with liw land taxes and they do fine. And yes you can point out some red states that tax low but they also offer very little help to their peopel either, so stop now.
Stop being a crybaby. When you inherit a property why should you get a financial advantage over new home buyers who are carrying the burden of funding the government. You can sell the property if you do not want to pay the higher rate.
Hmmm... and who will buy that home? Perhaps an overseas buyer/investor group that may have supported our governor? Are you seeing it now? It's... happening...
Proposition 19 was put into law, as all California propositions are, by voters, NOT the legislature. This is one more argument against democracy: the people did this, not their elected representatives.
Or is it an arguement for democracy? Why should the family have discounted taxes forever compared to other people who buy homes in the current market? Mostly they turn them into short-term-rentals anyway. Prop 19 makes the field a bit more level if they aren't going to continue living in the house, or at least uphill the same for all.
@@mitchellsmith4601 You both have no idea how the rental market works. Tax increases get passed onto renters.
In life nobody rides for free!!!!
Kim is verry pretty. Thanks
You never mentioned what happens if the property loses value!!
When that happened to me I applied for and got a tax reduction.
@@michaelmaas6460
I certainly hope so, but unfortunately one has to go and make the request and *hope* the govt agrees and complies.
Newson for president, let's bring California policies to the whole nation!
Yes, it would be nice for all the states to have the wealth that California has. Teslas everywhere you look and crowded clubs and fine restaurants. California, the 4th largest economy in the world. It is not easy to manage a giant diverse state where one out of eight American citizens live, 40 million people. The vast majority of California's population is doing very well. We are overpopulated so I'm happy that the other states will be sharing more of the country's population.
It still baffles me how California doesn’t have more homelessness…Crazy tax , regulations, anti business….
Prop 13 protections have made middle class homeowners in CA into millionaires. We pay less in property taxes than just about anyone else in the country, and our property values have skyrocketed, making us rich.
@@willieverusethis no shit that’s the first time I ever ever heard that. Certainly not from the friends I have who live there. 🤔🤔
Probably because the fearmongering spewed by certain media outlets isn't accurate.
Cant pay your high property taxes? Now youre homeless, which is now 'illegal'?
California used to be paradise back 50 years ago. Now I live out side the US in an other Paradise, low taxes, no weirdo woke stuff, stable prices, people nice , Republican, and lots of freedom.
El Salvador ? Hungary?
@@IntuitiveInterpretations none of those. I am not telling anyone. Else they will come and ruin the place.
I understand 100%
Intentionally complicated theft.
Why are you talking about others states ... this could have clear and easy..
"Why do we have to pay to live on a planet we were born on?" - Alex Collier
Another scam and tax on something that's already been taxed....
Sell the Bungalow
Greetings beloved 💕I hope you don’t feel I’m bothering you,I can’t just inbox for no reason,if I’m permitted i can tell you what I sensed
Yikes!