California Prop 19 and Home Transfers to Children

Propositions often come wrapped in disguises. California Proposition 19 was really beneficial to realtor, while appearing to be helpful to those who own property. While the tax breaks for those who lost homes to disaster was a good part of the package, heirs of property lose tax protections that used to be in place.

Oftentimes, a home owner will want to pass her or his home onto children. Prop 19 can actually place larger tax burdens on the children who inherit the property. What do they do then? Likely sell, which benefits the real estate agents of course.

Perhaps changes will come and a reversal will find its way onto the ballot. In the meantime, understanding the basics can help. For more on the topic, check out our latest video: https://youtu.be/U_bRJneUo2M