Prop 19 and Selling Your Home: What Retirees Need to Know

If you are 55 or older and thinking about selling your home on the Monterey Peninsula, California's Proposition 19 may be one of the most valuable tools available to you. Prop 19 allows eligible homeowners to transfer the taxable value of their current home to a replacement home anywhere in the state, up to three times in their lifetime, even if the new home costs more. Before Prop 19, many longtime homeowners felt locked in place, worried that moving would mean a painful jump in property taxes. Now, a retiree who has lived in the same Pacific Grove or Carmel home for twenty or thirty years can sell, purchase a new property, and carry much of their original, lower tax basis with them. For homeowners sitting on significant equity, this can mean the difference between staying put out of fear and finally making a move that truly fits the next chapter of life.

I work with a lot of retirees on the Peninsula, and the conversation is almost always the same. They love their home, but it no longer fits how they want to live. Maybe the stairs are harder to manage, the yard has become a chore instead of a joy, or the house is simply larger than two people need. Prop 19 gives those homeowners real flexibility to right-size without a tax penalty standing in the way, whether that means a single-level home closer to town, a low-maintenance property near the golf course, or a smaller coastal retreat that finally matches their lifestyle. As I tell my clients:

You worked hard. Now, it's time to enjoy the life that works for you. I understand it can be daunting and a bit scary to make a big change. My goal is to help you make this transition with ease and excitement.— Blake Russell

Let Blake, help make that happen. Blake is a Top Producer for Sotheby's International Realty and an Olympian that has lived on the Monterey Peninsula for almost 30 years.