Dear Monica: We love our home that we built 15 years ago but our children want us to move closer to where they live. Prices there are higher than in our area so we would get less property for the same cost. What are some points to consider when making this decision? Sara M.
Dear Sara: How great to have your children wanting you living near them. The practical considerations of this move include some tax ramifications, which could be important. If your current home has appreciated significantly, you will have capital gain to pay. This can be a substantial amount. Also, your property tax amount may be lower in your current house than it would be if you bought another house, resulting in higher expenses.
Prop 60 would allow you to move within your own county (and Prop 90 to select other counties) and pay the same amount you are paying now if you buy a property of equal or lesser value. If you move to a more expensive area, you may end up paying more not less for a property. Money doesn’t drive every decision though so do what would please you the most.