Aliso Viejo was built for families.

Most of the people who bought here in the '90s did it for the schools, the planned community layout, the proximity to the coast without the coast price tag. Some of those families are still here — now in their 60s and 70s, living in homes that have more rooms than people and more equity than they ever expected.

The question we hear most often from Aliso Viejo homeowners isn't whether to sell. It's: what do I do with what we've built here?

A home bought for $280,000 in 1997 in Glenwood or Pacific Ridge might be worth $1.3 million to $1.7 million today. That appreciation is an asset. But it also comes with decisions — about taxes, about the property tax base, about what happens if the home ends up in a trust — that most agents aren't equipped to help with.

We are. And we do this for Aliso Viejo families every year.

One seller we worked with bought her Aliso Viejo home in 2002. By the time she was ready to move, she wanted to scale back her work and reduce her cost of living. We sold her home and helped her use the equity as a large down payment on a house in Temecula, dropping her monthly payment significantly in the process. The move made financial sense on paper — and it actually worked because the equity was there to make it happen.

That's a pretty typical Aliso Viejo situation. The equity gives you options that didn't exist when you bought. The real question is what you want to do with them.

Kristina Hudes · The Hudes Group at Keller Williams · OC Real Estate Planner · 949-351-3924

 

Neighborhoods We Work In

Glenwood · Kite Hill · Pacific Ridge · Canyon Vistas · Wood Canyon · Aliso Viejo Town Center adjacent

 

frequently asked questions

Q: What do Aliso Viejo homeowners need to understand about capital gains before selling?

California homeowners selling a primary residence can exclude up to $250,000 in capital gains (individual) or $500,000 (married filing jointly). For an Aliso Viejo homeowner who bought for $280,000 in the late 1990s and is selling for $1 million today, that's approximately $720,000 in gain. A married couple shelters $500,000 — leaving $220,000 potentially taxable at federal and state rates that together can reach 33% or more for California residents. Understanding this math before listing is the difference between a plan and a surprise. This is educational context, not tax advice — work with your CPA.

Q: Can an Aliso Viejo homeowner use Prop 19 to buy a smaller home?

Yes, if they are 55 or older. Prop 19 allows qualifying California homeowners to sell their primary residence and transfer the existing property tax base to a replacement primary residence anywhere in the state. For an Aliso Viejo homeowner with a property tax base established in 1997, the annual savings on a new home can be substantial — sometimes thousands of dollars per year — compared to paying taxes on current market value. The new home must be purchased or built and occupied as a primary residence within two years of the sale. File Form BOE-19-B with the Orange County Assessor. This is real estate planning information, not legal or tax advice.

Q: What's the difference between a trust sale and probate sale in Aliso Viejo?

A trust sale occurs when property is held in a properly funded living trust. The successor trustee can sell the property without court involvement, following the process outlined in the trust document. A probate sale occurs when someone dies without a trust, or with a trust that wasn't properly funded, and the estate's real property must be sold through the California probate court system. Probate in California typically takes 9 to 18 months and involves court-set fees based on the gross value of the estate (not the net). A trust sale, by comparison, can close in 45 to 90 days. Whether a property goes through trust or probate depends entirely on the estate plan already in place — the real estate agent's role is to manage the sale correctly once that determination is made.

Q: My parents lived in Aliso Viejo for 25 years. What's the first thing I should do as successor trustee?

Get a certified copy of the trust document and confirm you have authority to act. Then secure the property — change the locks, notify the HOA, confirm insurance is in place (most homeowner policies don't cover vacant properties adequately; a vacancy rider or separate policy is needed). Get a current market analysis so you understand what you're working with. Before listing, think through the timing: is there a step-up in basis situation to consider? Are beneficiaries aligned? Is there a tax professional involved? A trustee who moves too quickly can make decisions that cost the estate money. A trustee who waits too long can face carrying costs, family friction, and a deteriorating property. The goal is a deliberate, coordinated process — not a fast one.

 

If you're a longtime Aliso Viejo homeowner or managing a family property as successor trustee, we'd be glad to have that conversation.

Book a Family Real Estate Planning Call · 949-351-3924 · eric@hudesgroup.com

www.HudesGroup.com/LongtimeHomeowners