If you are looking to downsize your home as part of your retirement plan, then you will be interested to know about the CA propositions that allow you to transfer your property tax basis to your new home within limited counties. 

Santa Clara county is a participating county, so you can stay within the county (Prop 60) or transfer to a few others (Prop 90).  Read below regarding Prop 60 and 90.

To understand options for transferring your property to a family member such as a grandchild, read more info here.