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Because thousands of California REALTORS® took action and made their voices heard, AB 736, a bill that would have incentivized cities to raise transfer taxes on property, particularly higher-value homes, will not move forward.
When the threat emerged, REALTORS® across California responded immediately. In just over 24 hours, more than 12,000 calls were made by REALTORS® to members of the Legislature, urging them to oppose the bill. That overwhelming response sent a clear message: increasing taxes on homeownership is not the answer.
In a separate but related development on tax policy, C.A.R. supported a broader agreement under which the Howard Jarvis Taxpayers Association agreed to withdraw its qualified Local Taxpayer Protection Act (LTPA) initiative in exchange for placing a constitutional amendment before the voters that would preserve the requirement that local special tax increases receive two-thirds voter approval. As part of the same agreement, ACA 13, a measure C.A.R. opposed and was prepared to fight at the ballot, will be removed from the November 2026 ballot. C.A.R. supported this agreement and the constitutional amendment and looks forward to its consideration by voters. While the amendment would apply going forward rather than to taxes already in place, it would protect taxpayers by returning the two-thirds threshold to all ballot measures for all local special tax measures.
This outcome is a powerful reminder that REALTOR® advocacy works. When REALTORS® engage, lawmakers listen. Your calls, emails, and outreach helped stop a proposal that would have made buying and selling a home more expensive for California families.
C.A.R. will continue to monitor AB 736 to ensure it remains inactive.
Thank you, C.A.R. members, for standing up for homeowners, homebuyers, property rights, and taxpayers across California. This victory belongs to you.
June 25, 2026
