Taxes and Property Taxes (Proposition 13, 60, 90, 58, 193 and Proposition 19)

Family Loans for Real Estate: How Newport Beach and Costa Mesa Families Can Help Children Buy Homes While Avoiding IRS Problems: Understanding IRS Applicable Federal Rates (AFR) in 2026

June 10, 2026
devinlucas

Many Newport Beach and Costa Mesa parents want to help children buy a home, but few realize the legal, tax, estate planning, and property tax implications that can arise from family loans, gifts, or below-market sales. In this comprehensive guide, Real Estate Attorney, Broker, and REALTOR® Devin Lucas and CPA/REALTOR® Courtney Lucas explain how IRS Applicable Federal Rates (AFR), Promissory Notes, Deeds of Trust, Proposition 19, and family wealth transfer strategies can help families structure real estate transactions the right way while avoiding costly mistakes. Whether you’re helping a child purchase a first home, transferring investment property, or planning for the next generation, understanding your options before transferring funds can preserve wealth and create better long-term outcomes.

Can You Use an LLC for a Proposition 19 Transfer? What Newport Beach and Costa Mesa Homeowners Need to Know

May 28, 2026
devinlucas

Thinking about using an LLC for your Proposition 19 replacement home? Be careful. While LLCs are often used for privacy, liability protection, and estate planning, California property tax rules may treat them very differently than revocable living trusts. In this article, we explore a little-known California Board of Equalization ruling, discuss why homeowners’ exemption eligibility matters, and explain why many homeowners, trustees, and advisors in Newport Beach, Costa Mesa, and throughout Orange County choose trust ownership over LLC ownership when trying to preserve valuable Proposition 19 property tax benefits.

Can You 1031 Into an LLC Without a Drop-and-Swap? Understanding Revenue Rulings 99-5 & 99-6

May 27, 2026
devinlucas

A Smarter Alternative to the Drop-and-Swap? Understanding Revenue Rulings 99-5 & 99-6. Can you use a 1031 exchange to buy into or buy out an LLC that owns real estate? Surprisingly, under certain IRS rulings, the answer may be yes. Revenue Rulings 99-5 and 99-6 create little-known planning opportunities involving LLCs, partnership interests, and investment properties — but the rules are highly technical and mistakes can be extremely costly. In this article, we break down how these strategies work, common pitfalls involving family partnerships and related-party rules, and why careful planning is essential for Newport Beach and Costa Mesa real estate investors navigating LLC ownership, 1031 exchanges, and capital gains planning.

How to Turn Your Primary Residence Into a 1031 Exchange and Defer Massive Capital Gains Taxes: The 4-Year Strategy

April 23, 2026
devinlucas

In high-value markets like Newport Beach and Costa Mesa, capital gains taxes can be brutal. But for some homeowners, a carefully timed move-out, rental conversion, and 1031 Exchange can create one of the most powerful wealth-preservation strategies available. Sometimes, four years can change everything.

1031 Exchange Explained: How Newport Beach & Costa Mesa Investors Can Defer Capital Gains Taxes

April 23, 2026
devinlucas

The 1031 Exchange remains one of the most powerful tax strategies available to real estate investors. By deferring capital gains taxes and reinvesting into new property, investors can grow wealth more efficiently. In this guide, we break down how it works, key rules, and strategies tailored to the Newport Beach and Costa Mesa markets.

Prop 19 and Duplexes (or Properties with ADUs or JADUs): What Happens When You Live in One Unit and Rent the Other?

April 23, 2026
devinlucas

Own a duplex in Newport Beach or Costa Mesa and thinking about Proposition 19? If you live in one unit and rent the other, you may be in for a surprise. The law doesn’t treat your property as one home—it splits it. And that can mean a major property tax hit. Here’s what you need to know before you sell or pass it down.

Newport Beach coastal luxury homes at sunset with California property tax reminder for second installment due April 10, 2026, featuring Lucas Real Estate branding.

California Property Tax Reminder (2026): Don’t Miss the April 10 Deadline — Penalties Are Immediate

March 19, 2026
devinlucas

California property tax reminder: the second installment is due April 10, 2026. Avoid penalties and stay compliant—especially for Newport Beach and Costa Mesa homeowners.

Newport Beach oceanfront luxury home at sunset with April 15, 2026 California LLC tax deadline reminder, featuring Lucas Real Estate branding.

California LLC Owners (2026): Don’t Miss These 2 Critical Deadlines — April 15 Is Closer Than You Think

March 19, 2026
devinlucas

California LLC owners: your $800 tax and Form 568 are due April 15, 2026. Avoid penalties and stay compliant—especially if you own real estate in Newport Beach or Costa Mesa.

2026 IRS Gift & Estate Tax Rules: $15 Million Lifetime Exclusion Is Here — What Newport Beach Homeowners Need to Know Now

January 22, 2026
devinlucas

The rules have changed—and high-value real estate owners should pay attention.
With the new $15 million federal gift and estate tax exclusion for 2026, families owning coastal California real estate now have unprecedented flexibility in estate and tax planning. Here’s what this means for Newport Beach and Orange County property owners.

2025–2026 California Property Tax Bills Are Out! Don’t Miss Your Deadlines (The County Will NOT Remind You!)

November 16, 2025
devinlucas

Property tax season is here again! Orange County has released the 2025–2026 secured property tax bills, and homeowners in Newport Beach, Costa Mesa, and the surrounding coastal communities should review their bills now. The County won’t remind you if you miss a payment, and penalties can be steep—especially on high-value homes. Here’s what you need to know about deadlines, online payments, and why December 10 and April 10 are the real dates that matter.

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