A couple of points here. First, I am not an attorney, so it would probably be best for one to structure what you propose to do.
For the taxes, it would likely emerge as an inter-family transfer which, in my humble opinion, will not trip off a higher tax rate.
In the end, you will probably need to get an appraisal or two, or even - since you're all on friendly terms, you might have a friend(s) in the real estate business - locally, in Anaheim, of course - who might prepare what amounts to a BPO ( Broker's price opinion.) that you could all agree on. Three would be better - one from each party.
Then average them out for a value, divide it by 3, and there you have it. Each party's interest in the property. If there are no loans on the property, the party who wants to keep the house can either pay cash to the other parties, or obtain a loan sufficient to buy them out.
I hope this is helpful - good luck in sorting things out amicably.