The Family Home Protection and Fairness in Property Tax Act Provides Housing Relief for Seniors

“Seniors will finally have some housing relief under The Family Home Protection and Fairness in Property Tax Act. Many seniors are trapped in homes that are no longer appropriate for aging-in-place, and that has been further exacerbated due to COVID-19. Their homes are too big, require too much maintenance, have too many steps, and are often just too expensive. This initiative will provide needed housing relief to seniors and make it more affordable to move to a new home that fits their needs.”

— Deborah Howard, President and Board Chair, California Seniors Advocate League

 

Many seniors live in homes that are too big and not conducive to their health care needs; some may be far from their family or health care facilities. Current laws (Proposition 60/90) are burdening seniors and limiting access to housing.

Specifically, Propositions 60/90 allows homeowners over age 55 to transfer their property tax base to a replacement home of equal or lesser value in either the same county or a county that authorized such a transfer. Currently, only 10 counties allow for such a transfer, forcing seniors to stay in homes that don’t fit their current needs. 

The CALIFORNIA ASSOCIATION OF REALTORS® is sponsoring The Family Home Protection and Fairness in Property Tax Act to provide seniors living anywhere in the state access to housing relief. Often, seniors have family members living in different counties, and current law burdens seniors who want to move closer to family. This Act will allow homeowners 55 years or older to transfer their property tax rate anywhere in the state, regardless of the value of their home. This will help seniors find a more suitable home without an increase in their property tax rate and it also opens up these homes for young families.

The Act also protects parents’ and grandparents’ constitutional right to transfer the family home to their children and grandchildren to use as their primary residence while keeping the benefits of its current property tax base. State and local governments are facing steep budget deficits, and for

years, policymakers have threatened to increase taxes for the transfers of family homes. This measure will ensure that parents and grandparents can pass their family home onto their children and grandchildren, as a primary residence without a property tax rate increase, all while generating hundreds of millions of dollars for local cities, counties and schools to help fund vital residential services including housing programs, health care, and emergency services.

The Family Home Protection and Fairness in Property Tax Act will provide housing relief for seniors, address the state’s housing affordability crisis by creating more housing availability, and generate revenue that will benefit us all.

To learn more about The Family Home Protection and Fairness in Property Tax Act, go to: CARhomecoalition.com. For questions or to receive a copy of a toolkit with resources on how you can share information about the initiative, please contact realtorparty@car.org.