Moving a Parent into Senior Housing? Why Renting Their Home Might Be the Smartest Move

If you’re helping a parent transition into assisted living or long-term care, you’re likely facing emotional, financial, and logistical decisions all at once. One of the biggest:
What should you do with their home?
In many cases, renting the home temporarily—rather than selling it immediately—can offer major tax advantages and long-term flexibility.

💰 Why Families Choose to Rent Instead of Sell

• Avoid Unnecessary Capital Gains Taxes
  If the home is sold during your parent’s lifetime, any increase in value over the purchase price could trigger significant capital gains taxes. But if the home is inherited, it receives a step-up in basis, potentially eliminating that liability.
  
• Preserve Prop 13 Property Tax Benefits
  In California, long-term homeowners often have very low property tax assessments thanks to Prop 13. Renting the home allows you to maintain those favorable rates until a future transfer or sale.
  
• Generate Passive Income to Offset Care Costs
  Monthly rental income can help cover senior care expenses without forcing a rushed sale.
  
• Keep Your Options Open
  If the market improves—or if a family member may want to move in later—renting gives you time to make the right long-term decision.
  

🏡 What Makes a Parent’s Home a Good Rental Candidate?✔ Single-family home in Santa Monica, Westchester, Mar Vista, or Culver City
✔ Structurally sound with basic cosmetic updates
✔ Vacant or soon to be vacant
✔ You want professional help managing it locally

📋 We Handle Everything—So You Don’t Have ToAt Keybox Properties, we specialize in single-family leasing and management for families managing estates, long-term care transitions, and probate situations.
We take care of:
✅ Coordinating minor repairs and cleaning
✅ Marketing the home to high-quality tenants
✅ Screening, leasing, and rent collection
✅ Local oversight and ongoing maintenance
✅ Monthly reporting and year-end summaries for tax prep
We work closely with family members, estate planners, and attorneys to ensure everything is handled smoothly and respectfully.

👋 Let’s Talk Before You Decide to Sell Even if it’s just a short-term plan, renting the home now can save you money—and the right manager can give you peace of mind.