It was designed to protect the elderly from losing their homes, as the values increased and their income decreased. Most counties, including Los Angeles allow sellers to relocate within the county and keep their original tax base. Some counties around California co-operate and allow people to move from county to county and move their tax base.
The tax rate has been adjusted to 1.25% so that the county are able to collect a more dollars than originally mandated. The county ASSESSED value normally has no relationship to the actual tax owed.
It is important when buying a new home to negotiate the very best possible price for purchase, as that does determine what the tax will be and of course that's how you as a buyer get the best possibility for an increased return on your real estate investment.
Always use your own agent and choose an agent who is a negotiation expert!
The assessed values are based on the assessors value at the time of the sale,... then any improvements thereafter.
Each property is different.
Assessors make mistakes all the time.
Their job is to make a value on a home without seeing it.
As Diverse as Malibu is with top of the line ( Redone14 times) and crap ( non modified since 1973 when it was built ) two doors down the possibility for screw ups is easy.
Have you ever seen an assessor come to visit a property?
Nope neither have I as they sit in a cubicle and use info on their laptops sales, comps and google earth.
Take the steps if you feel over valuated. They do have + or - error rate that they are allowed of around 20% which I think is crazy.
Ask specifically for the comps ( addresses ) they used for their valuation.
In the hills in Calabasas they have similar issues as well.
Should you need help feel free to reach out to me directly at email@example.com or call me on my mobile. 310.486.1002 I represent buyers and sellers in Malibu
Prudential California Realty
Beverly Hills, CA 90210