Why advice from before 2021 is dangerously out of date

Before Prop 19, different rules (Props 58 and 193) applied: a parent could pass a principal residence of any value to children with no reassessment and no move-in requirement, plus up to $1M of assessed value in other property — rentals included.

Many families planned around those rules. Many websites, older articles, and well-meaning relatives still describe them. Under Prop 19 they are gone for transfers on or after February 16, 2021: no exclusion at all for rentals and second homes, and the principal-residence exclusion now requires the one-year move-in and carries the value cap.

If someone tells you 'you can keep your mom's tax basis, no strings attached,' they are describing law that ended in 2021. Check anything you read — including this — against the county assessor or the State Board of Equalization's Prop 19 pages.

General education, not advice — verify anything you’ll rely on with a CPA or estate attorney.