Nick PerryFounder and CEO of 7 Figure Cartel

California’s New Real Estate Law Just Changed Listings Forever

14 Feb 2026 · 1 min

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In this brief commentary, the speaker criticizes California’s recent Proposition 19, which eliminates the ability to retain a low property‑tax basis when a home is inherited. Under the new law, a property that was purchased decades ago with a modest assessed value (e.g., $90,000) and low annual taxes (about $2,000) will be reassessed at its current market value upon the owner’s death. The resulting tax increase can make the inherited home unaffordable for heirs or real‑estate investors, forcing many to sell the property. The speaker frames the law as a punitive measure against investors and a potential disruption to the state’s housing market.

Chapters

Oh boy. California did it again. They keep finding newer and newer ways to mess real estate investors over. See, they passed a new law called Prop 19 and it says that when your parents pass away, or anybody passes away and you inherit a property, you can no longer carry on those taxes. So for example, if your parents bought their property back in the 80s and they are paying about $2,000 in property taxes because the property was 90,000, what Prop 19 does is that when they pass, those $2,000 of taxes are going to go up to what the property is worth today. So you're no longer able to ro that over, because with Prop 19 that is gone, which means you won't afford the house, so you will have to sell.