In California, married couples pay no capital gains on the first $500,000. http://www.nolo.com/legal-encyclopedia/avoid-capital-gains-tax-selling-home-29901.ht

In California, married couples pay no capital gains on the first $500,000. http://www.nolo.com/legal-encyclopedia/avoid-capital-gains-tax-selling-home-29901.html http://www.nolo.com/legal-encyclopedia/avoid-capital-gains-t... And the transfer tax doesn't hold a candle to the lost property tax revenues on, say, 30 years of ownership.