There comes a point in most people’s lives when they think of moving. As people get older, they may want to move for several reasons. For some, the upkeep of their current home can become overwhelming. For others, they may choose to live closer to their family. Moving is a complex decision because figuring out the logistics, including where your next home will be, can become overwhelming.

What are some factors to consider when moving?

Finances should be a significant factor when it comes to moving. Since no one has a crystal ball on their lifespan, it is best to consult a financial advisor to consider how much money one has and if one can last throughout one’s retirement years. A financial advisor should assess all your assets, recommend any insurance policies, consider upcoming expenses, and develop a plan so that you can live comfortably through your retirement years.

Another person to consult is a tax specialist or CPA (certified public accountant). They can help you determine tax consequences, such as capital gains tax and what home expenses you can write off. If you owned and lived in the home for two of the five years before the sale, it is tax-free from what you bought the house for plus any appreciation, up to $250,000 for an individual, or $500,000 for married couples who file a joint tax return. Other considerations need to be made for a divorced or widowed person or home improvements. A tax specialist can also identify any tax ramifications if one sells and buys another property or sells and moves into a senior housing community.

How does Props 19 affect moving?

Proposition 19 only takes into affect if a person buys another home. Voters passed Proposition 19 in November 2020. It replaces Proposition 60 and Proposition 90, which both addressed home transfers by seniors, and Proposition 110, home transfers for severely disabled persons. Proposition 19 is Home Protection for Seniors, Severely Disabled, Families, and Victims of Wildfire or National Disasters Act. Proposition 19 limits people who inherit family properties from keeping the low property tax base unless they use the home as their primary residence. In addition, it also allows homeowners over 55 years of age, disabled, or victims of wildfire or natural disaster to transfer the assessed value of their primary home to a newly purchased or newly constructed replacement primary residence up to three times. This law applies anywhere in California and replaces the previous provision, which applied only in the same county or county with inter-county ordinance.

Who should I consult for housing options?

If a person is selling their home to buy a smaller home, then working with a senior specialist realtor would be best. If a person is looking into moving into a senior housing community, there are two specialists to consult regarding senior housing options. One option is working with an Aging Care Specialist. This specialist would be perfect for someone diagnosed with a potentially deteriorating medical condition such as ALS, MS, Parkinson’s, or renal failure disease, to name a few, since they can continuously work with a person to find the right home and care as they go through the stages of their disease. Another option is a Senior Placement Agent since they know the senior communities and can direct someone to a community that fits their needs.

There are a lot of things to consider when moving. STAGES wants you to know what resources are available.