What is Proposition 8?
In 1978, California voters passed Proposition 8, a constitutional amendment to Proposition 13 that allows a temporary reduction in assessed value when property suffers a “decline in value.” A decline in value occurs when the current market value of a property drops below the current assessed value. A reduction is assessed value results in lower property taxes thus saving the property owner often hundreds, if not thousands, of dollars each year. Due to recent housing market conditions, virtually everyone that purchased property in California within the past few years can take advantage of Proposition 8 and save money by lowering their property taxes.
So with that in mind, if you are a California homeowner that purchased between 2003-2007, your property tax bill is probably too high! Many home owners don’t know that, under Proposition 8, they are entitled to file an appeal to have their home reassessed, more accurately reflecting today’s lower property values. Since a home owner’s property tax bill is based on the assessed value of that home, a reduction in assessed value will yield a reduction in property tax!
Time is running out for California homeowners to file for a reassessment of their homes for tax year 2008-2009. There are 58 counties in California and each county has their own time lines, rules and regulations. Interested homeowners should contact a knowledgeable individual, who can research comparable values to help in preparing your appeal, and, very possibly, reducing their property taxes. Why pay more tax than you have to? Not to mention it is FREE!