California's property tax rate is 1% of assessed value, plus voter-approved local additions that vary by county and district

California has a base property tax rate of 1%, set by state law. This applies to the assessed value of your property — not the price you paid for it. On top of that 1%, your county and local districts (schools, fire, water) can add their own taxes, called voter-approved bonds and assessments. These additions vary significantly depending on where your property sits. A home in one county might pay 1.2% total; another might pay 1.35% or higher.

The assessed value itself is what matters most. Under Proposition 13 (passed in 1978), your property is assessed at its purchase price, then increases no more than 2% per year — even if the market value climbs much faster. This means two identical homes on the same street can have very different tax bills if one sold recently and one sold decades ago.

Key Takeaways

  • California's base rate is 1% of assessed value, but most properties pay between 1.1% and 1.4% when local additions are included.
  • Your assessed value is locked to your purchase price and rises only 2% annually under Proposition 13, regardless of market changes.
  • The assessed value resets to current market value only when the property sells or changes ownership.
  • Local voter-approved bonds and assessments add to the base rate and differ by county, school district, and special districts.
  • Your property tax bill is mailed twice yearly in California, and the county assessor's office can show you the breakdown of all taxes on your property.

How the 1% base rate works with local additions

The 1% applies to your assessed value. If your home is assessed at $500,000, the base state and county tax is $5,000 per year. But your actual bill includes additions. These come from voter-approved measures — school bonds, county services, flood control districts, library districts, and others. Each district that serves your property can add a small percentage.

In practice, total rates across California typically fall between 1.1% and 1.4% of assessed value. Some areas run higher. You can find your exact rate by looking at your property tax bill or calling your county assessor's office. They will break down every line item: the 1% base, each local addition, and the total percentage.

These local additions are not arbitrary. They must be approved by voters in a referendum. When a school district or county wants to add a tax, residents vote on it. If it passes, it becomes part of your bill. If it fails, it does not. This means rates can differ sharply between neighboring counties or even between properties in different school districts within the same county.

How Proposition 13 affects what you pay

Proposition 13 is the reason California property taxes feel low compared to other states — and why they can feel unfair to newer buyers. When you purchase a property, the assessor sets its value at the sale price. Each year after that, it can increase by no more than 2%, even if your home's market value doubles or triples.

This means a house bought in 1990 for $200,000 might have an assessed value of around $350,000 today, while an identical house next door bought last year for $1.2 million has an assessed value of $1.2 million. The newer buyer pays roughly three times the property tax, even though the homes are the same.

The assessed value resets to current market value only when the property changes ownership. A sale, a transfer to a family member, or a change in ownership structure can trigger reassessment. Some transfers — like those to spouses or direct descendants — have exemptions under Proposition 19 (passed in 2020), but the rules are specific. If you inherit a property or receive one as a gift, contact your county assessor to understand whether reassessment applies.

What triggers a reassessment and resets your tax base

A change in ownership is the main trigger for reassessment. This includes a sale to any buyer, a transfer to a trust, or a change in how title is held. When ownership changes, the assessor reassesses the property at its current market value, and your tax bill jumps to reflect that new base.

Some transfers do not trigger reassessment. Under Proposition 19, transfers between spouses and transfers to direct descendants (children and grandchildren) may avoid reassessment if they meet specific conditions. However, these exemptions have limits and important date. If you are planning to transfer property within your family, the county assessor can tell you whether reassessment will occur and what paperwork you need to file to claim an exemption.

New construction also triggers assessment. When you build an addition or major improvement, the assessor adds the value of that work to your assessed value. Routine maintenance does not count, but a new roof, deck, or room addition will increase your tax base.

Where to find your property's tax rate and assessed value

Your property tax bill arrives twice per year (usually in November and February). It shows your assessed value, the tax rate applied, and the total amount due. The bill also lists each component — the 1% base, each voter-approved addition, and any special assessments.

If you want to see this information before your bill arrives, visit your county assessor's website. Most counties have online tools where you can search by address or parcel number and view the assessed value, tax rate, and recent sales data. You can also call the assessor's office directly. They can explain why your assessed value is what it is and show you the breakdown of all taxes on your property.

If you believe your assessed value is wrong — for example, if it does not reflect damage to the property or if you think it was set too high — you can file an appeal. The process and important date vary by county, but the assessor's office can explain your options. Appeals must usually be filed within a specific window, often 30 days after you receive your bill.

How California's rate compares to other states

California's 1% base rate is among the lowest in the nation. States like New Jersey, Illinois, and Texas have effective property tax rates of 1.5% to 2% or higher. However, this comparison is incomplete because it depends on home values. A 1% rate on a $1.5 million home in California produces a much larger dollar bill than a 1.5% rate on a $300,000 home elsewhere.

The real difference is that California's Proposition 13 caps annual increases at 2%, which keeps long-term owners' bills stable. In states without this protection, property taxes can rise sharply as home values climb. A homeowner in California who bought 20 years ago pays far less than a neighbor who bought last year, even on identical properties. In other states, both would pay roughly the same percentage of current market value.

Special assessments and bonds that add to your bill

Beyond the base 1% and regular local taxes, your bill may include special assessments. These are charges for specific improvements or services that benefit your property — a new sewer line, a flood control project, a street repair, or a school bond. Special assessments are voter-approved and appear as separate line items on your tax bill.

Some assessments are one-time charges; others are ongoing. A bond for a new school building might add a small amount to your bill for 20 years. A sewer improvement might be a one-time charge spread over several years. Your tax bill will show which assessments explore to your property and for how long.

If you receive a notice about a proposed special assessment, you usually have the right to attend a public hearing and voice your opinion before it is approved. The county or district will mail notice of these hearings. If you want to object, attend or submit a written comment by the important date listed in the notice.

Frequently Asked Questions

What is the total property tax rate I will actually pay?

The base is 1%, but your total rate depends on local voter-approved additions. Most California properties pay between 1.1% and 1.4% of assessed value. Your property tax bill shows the exact rate applied to your property. If you do not have a bill, call your county assessor's office and give them your address or parcel number.

Does my property tax go up every year?

Your assessed value can increase by no more than 2% per year under Proposition 13, so your tax bill rises by roughly 2% annually (unless new assessments are added). The only exception is when the property sells or ownership changes — then the assessed value resets to current market value and your bill can jump significantly.

Can I lower my property tax bill?

You can file an appeal if you believe your assessed value is incorrect. You may also be may have access to to exemptions if you are a senior, disabled, or a veteran — contact your county assessor about these. Some counties offer Proposition 19 exemptions for transfers to spouses or direct descendants. The assessor's office can explain what you might may have access to for.

What happens to my property tax if I inherit a house?

Under Proposition 19, inherited property may be reassessed at current market value, which increases your tax bill. However, direct descendants (children and grandchildren) may claim an exemption that delays or avoids reassessment if they meet specific conditions and file the proper paperwork within important date. Contact your county assessor when ready after inheriting to understand your situation.

Why do two identical houses on the same street have different tax bills?

Because of Proposition 13, assessed value is based on purchase price, not current market value. A house bought 20 years ago has a much lower assessed value than an identical house bought recently, even though both sit on the same street. This is why newer buyers often pay significantly more in property tax than their neighbors.