Under certain circumstances, California law allows owners to transfer their existing Base Year Value (Proposition 13 value) when they sell their current home and buy or build a replacement. This avoids reassessment and a potential increase in property taxes. This proposition was enacted to allow a person to downsize to a smaller residence. A senior citizen that acquires a replacement property with the same or lower value than the value of the original property can continue to pay taxes on the same base year value. Form BOE 60-AH, Claim of Person(s) at Least 55 Years of Age for Transfer of Base Value to Replacement Dwelling, is available on our forms page.
If you have been granted a Proposition 60 benefit and then become severely and permanently disabled, you may also qualify for a Proposition 110 benefit. However, a disabled person granted a Proposition 110 benefit first is not eligible for a Proposition 60 benefit later.
You are eligible for Proposition 60 relief if you meet all of the following:
- The replacement property must be the owner's principal residence and eligible for the Homeowners' Exemption or Disabled Veterans Exemption.
- The original property must have been eligible for the Homeowners' Exemption or the Disabled Veterans' Exemption.
- The seller of the original residence, or a spouse residing with the seller, must be at least 55 years of age as of the date that the original property is transferred.
- The replacement property must be of equal or lesser "current market value" than the original.
- The original and replacement properties must be in the same county.
- The replacement property must be purchased or newly constructed within two years (before or after) of the sale of the original property.
- The owner must file an application within three years following the purchase date or new construction completion date of the replacement property.
- This is a one-time only filing. Proposition 60 relief cannot be granted if the claimant or spouse was granted relief in the past.
If more than one owner of an original property is eligible for Proposition 60, they must choose among themselves which one will use the benefit.