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Post-election update on Prop 5 and Prop 10

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This year C.A.R. embarked on a historic and comprehensive effort to pass Proposition 5, a Property Tax Fairness Initiative, which would remove the “moving penalty” for seniors 55 and older, the disabled, and victims of natural disasters, allowing them to carry their current Proposition 13-protected property tax assessment level to another home of any price, anywhere in the state, any number of times.

Thank you to C.A.R. members for helping to gather nearly one million signatures to qualify Proposition 5 for this year’s General Election ballot and helping in grassroots campaign to improve housing opportunities for all Californians.

Prop 5 opponents were successful this time, but C.A.R. is committed to this effort for the long haul. In fact, we are pursuing a revised initiative for the November 2020 ballot. The new initiative for the 2020 ballot provides for property tax base portability, reforms intergenerational transfer laws, and addresses the true ‘split roll’ problem:  corporations gaming the current property tax reassessment system. And, most significantly, it will raise money for schools and local governments.

Additionally, C.A.R. is planning to pursue the issue through a legislative alternative in the state legislature to achieve its goals and reinforce our commitment to making property tax fairness a reality. Ideally, we can get the legislature to place the alternative on the March 2020 ballot so that we do not have to pursue the November 2020 initiative.

At the same time, C.A.R. also worked to defeat Proposition 10, which would repeal the Costa-Hawkins Rental Housing Act and allow for the dramatic expansion of rent control.

C.A.R. is pleased that it was successful in helping to defeat Proposition 10, an initiative that would have repealed protections homeowners have enjoyed for more than 20 years and worsened the housing crisis by making it more expensive and harder for renters to find affordable housing.

C.A.R. worked more than 10 years to pass the Costa-Hawkins law. It may ultimately take longer than a couple of years to achieve our property tax fairness goals.

REALTOR® investment of time and resources as part of these grassroots efforts will benefit clients, homeownership, and California. We all know that when REALTORS® lead, California wins. 

Thank you for all you do as proud members of California’s REALTOR® Party.


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