Property Ownership

Under California's Proposition 13, when is real property generally reassessed to market value?

AEvery 5 years regardless of ownership changes
BUpon a change in ownership or completion of new construction✓ Correct
COnly when the owner requests reassessment
DAnnually based on current market conditions

Explanation

Proposition 13 limits property tax increases to 2% per year after the initial assessment. However, property is reassessed to current market value when there is a change in ownership or when new construction is completed, triggering a new base year value.

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