Base Year Value Transfer for Persons Aged 55 years and Over

Under certain rules, California law allows any person who is at least 55 years of age to transfer the base year value of their existing home to a replacement dwelling.

This benefit is available to a homeowner who is 55 years or older, and who resides in a property eligible for a  Homeowners’ Exemption or a Disabled Veterans’ Exemption (their principal place of residence).

The replacement dwelling must be purchased or newly constructed within two years of the sale of the original property, and may be located anywhere in California.

The effective date of this exclusion is April 1, 2021.

When and where is this service offered?

This service is available throughout the year during regular business hours except during scheduled holidays.

Location, directions and hours of operation

Click on location name to show hours of operation, directions and phone information

Monday - Friday 8-4


6565 Capistrano Avenue
Atascadero, CA 93422

Tel: (805) 461-6143

Fax: (805) 461-6159

Monday - Friday 8-5


1055 Monterey Street Suite D360
San Luis Obispo, CA 93408

Tel: (805) 781-5643

Main Office Fax: (805)-781-5641

Real and Business Property Fax: (805)-788-2042

Public Service/Front Counter Fax: (805)-788-2041

Mapping and Transfers Fax: (805)-781-4034

FAQS

Yes, any over payments you have made will be refunded for the period following the effective date of the base year value transfer (i.e., the latest qualifying transaction).

If you qualify, your base year value will transfer to the replacement residence as of the latest qualifying event--a) the sale of your original residence; b) the purchase of your replacement residence; or c) the completion of construction of your replacement residence.

This means if you purchase or construct your replacement residence before the sale of your original residence, you will be responsible for the increased taxes on your replacement residence until your original residence is sold.

Some requirements for a transfer of base year value include the following:

  1. You must be at least 55 years of age when the original property is sold.
  2. The replacement property must be your principal place of residence, and must be eligible for a Homeowners’ Exemption or a Disabled Veterans’ Exemption.
  3. The replacement residence must be purchased or newly constructed within two years (before or after) of the sale of the original property.
  4. To receive relief from the date the base year value qualifies for transfer, you must file your claim within three years following the purchase date or new construction completion of the replacement property.
  5. Your original property must have been eligible for the Homeowners’ Exemption or the Disabled Veterans’ Exemption either at the time it was sold or within two years of the purchase or construction of the replacement property.
  6. Both your original property and your replacement property must be located in California.

If the full cash value of your replacement property, as defined, is greater than the value of your original property, you are eligible for partial relief.

Example:

Replacement property is purchased on July 1, 2021, for $600,000.

Original property has a factored base year value of $100,000.  Original property is sold on July 15, 2021, for $400,000.

The difference is $200,000.  ($600,000 - $400,000 = $200,000)  The difference is added to the factored base year value ($100,000 + $200,000 = $300,000).

The new base year value of the replacement property is $300,000.

As long as either the sale of your original property or the purchase or new construction of your replacement property (whichever is later) is on or after April 1, 2021, you are eligible to move your base year value to San Luis Obispo County (assuming all requirements are met).