Both work. The order changes the price limit.
Buy firstlimit: sale price
Year 1 after salelimit: price times 1.05
Year 2 after salelimit: price times 1.10
After 24 monthsno transfer
Before the saleSale day12 months24 months
1. Buy first
Limit: the old sale price. You pay full-value tax on the new home until the old home sells, with no refund for that time. The old home must sell within 2 years.
2. Sell, then buy within 12 months
Limit: the old sale price times 1.05.
3. Sell, then buy in months 13 to 24
Limit: the old sale price times 1.10. After 24 months the transfer is not available.
You file the claim within 3 years of buying the new home.
Source: California Board of Equalization, Proposition 19
Not tax or legal advice. These are estimates. Please check with your county assessor and a CPA or attorney before you sell or buy. Read more
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