Posted by Tony (CA) on July 19, 2001 at 12:01:20:
Steve,
Yes, When the title is transferred a new tax basis is calculated. It is 1.25% of the selling price.
This “Proposition 13” edict keeps property taxes unchanging (for as long as you own your house), but has also kept many people from moving. They don’t want to have to pay higher property taxes on another home and would rather keep their really low tax bill.
Tony
Property taxes re-assessed when buying on ILC? - Posted by Steve (CA)
Posted by Steve (CA) on July 18, 2001 at 20:44:13:
I am planning on purchasing a towhnhouse on a land contract, and was wondering if the property taxes will be re-assessed after I buy? Would it make a difference if the contract were not recorded?
The owner has been there a long time, and the current assessment is very low - wouldn’t mind keeping it that way!
I’m in northern CA by the way, if that matters.
-Steve
Re: Property taxes re-assessed when buying on ILC? - Posted by Alex Samuelson
Posted by Alex Samuelson on July 20, 2001 at 17:19:39:
ALTHOUGH IT IS TRUE THAT PROPERTY TAXES ARE RECALCULATED AFTER TITLE IS TRANSFERED WHAT 75%OF AMERICANS DON’T REALIZE IS THAT THEY OVER-PAY THERE PROPERTY TAXES AND OF THAT 75% 2/3RDS ARE ENTITLED TO A REFUND AND A REDUCTION IN THERE PROPERTY TAXES. ALTHOUGH THERE IS SOME RESEARCH INVOVLED IT IS WELL WORTH THE TIME SPENT. IF YOU PURCHASE YOUR TOWNHOME LET ME KNOW, I CAN BE OF SOME ASSISTANCE I’M SURE! ALEX