In your state (California), property tax is based on the purchase price at  acquisition (assuming the purchase price is within the realm of potential or reasonable fair market values--i.e. the government does NOT have to accept or believe an unreasonably low purchase price made to lower taxes, especially to family, an heir, etc.). So the property taxes you will have on the property depends on the purchase price. Here is a link to an informative, but somewhat long-winded, governmentwebsite about your state taxes:http://www.lao.ca.gov/reports/2012/tax/property-tax-primer-112912.aspx