Prop 19: Buying a Home in a Different City After Losing Your Home to Fire

If you've lost your home to a wildfire or another natural disaster in California, Proposition 19 offers an important financial benefit when purchasing a replacement home. This law allows you to transfer the assessed value of your original home to a new home anywhere in the state, preventing a significant increase in property taxes—even if you relocate to a different city.

Key Benefits of Prop 19 for Fire Victims

Who Qualifies?

According to California Proposition 19, individuals who qualify for transferring their property tax base to a new home are those who are over 55 years old, severely disabled, or victims of a natural disaster; allowing them to move to a new residence without a significant increase in property taxes based on the new market value of the replacement home. 

Property Tax Transfer

You can transfer the lower assessed value from your fire-damaged home to your new property, reducing the impact of rising property taxes.

Timeframe for Purchase

You must buy your replacement home within two years of selling your fire-damaged property to be eligible for the tax transfer.

No Limits on Transfers

Unlike seniors and individuals with disabilities, who are limited to three transfers under Prop 19, there is no limit to how many times you can transfer your assessed value if your home was destroyed by a natural disaster.

Important Considerations

Filing with Your County Assessor

To officially transfer your property tax base, you must submit a claim with the assessor’s office in the county where your new home is located. It’s important to begin this process as soon as possible to avoid tax complications.

Impact of Market Value Differences

If your new home has a higher market value than the one you lost, the difference in value will be added to your assessed tax base. This means you may see an increase in property taxes, but you will still benefit from a significantly lower tax rate than if you were paying full market value.

Final Thoughts

Recovering from a natural disaster is never easy, but Proposition 19 provides some financial relief by helping homeowners avoid a major property tax increase when purchasing a new home. If you're navigating this process, consulting with a real estate professional and your county assessor can ensure you take full advantage of this benefit.

For personalized guidance on purchasing a replacement home, feel free to reach out—we're here to help.