Do I have to live in the inherited home to keep the tax basis?

Yes — under current California law (Prop 19), the property must become your primary residence within one year of inheritance to qualify for any tax-basis transfer.

"Primary residence" in California has specific meaning: - Where you actually live the majority of the year. - Where your driver's license lists your address. - Where you receive mail. - Where you vote.

You cannot: - Rent it out and call it your primary residence. - Use it as a vacation home and another property as your primary. - Claim the homeowner's exemption on multiple properties.

What if you live in it for a few years and then move? The reassessment trigger depends on the timing and circumstances. If you established it as your primary residence properly, and later move, the tax basis you inherited may continue or may be lost depending on what you do with the property. A tax attorney should review.

What if multiple children inherit? Each child can potentially qualify if one of them moves in within a year. Specific rules around co-ownership get complex — review with an attorney.

This isn't legal or tax advice — it's general information. Your specific implications depend on facts only a CPA or estate attorney can evaluate.

I want to give you a complete answer, but I need to know your specifics. Reach me at (510) 504-0402, text or call 24/7 at (406) 205-9003, or email roger@grubb.net. I answer my own phone.