One of the main reasons that California voters passed Proposition 13 in June 1978 was to protect themselves against escalating property taxes as the value of their property increased. By establishing base year values that could not go up by more than 2% per year, Proposition 13 kept the owner's property tax increase at a manageable level.

One of the unintended effects of Proposition 13 was that it discouraged empty nesters from downsizing into a smaller residence.

To solve this problem California voters passed Proposition 60 in 1986 that permits people over 55 years of age to sell one home and buy another of equal or lesser value in the same county within two years and take their original Proposition 13 base year value with them

There are of course some eligibility requirements in place in order to  take advantage the property tax transfer which I discuss in today's update.