In short
For most families the order that works best is: move your parent out first, then clear and clean the house, then list it empty or lightly staged. Only the person who owns the home — or whoever holds a valid power of attorney, or the estate's personal representative — can sell it. If your parents lived in the home two of the last five years, a large share of the profit is usually tax-free. Call (800) 614-8388 for help timing the sale with the move.
The order that makes it easier
Sell before or after the move? For most people, after. Moving out first lets you clear the house, make small repairs, and show it clean and empty instead of trying to keep it tidy while someone still lives there. It also spares your parent the parade of strangers walking through. If cash from the sale is needed for a community's deposit, many communities will work with you on timing — just ask up front.
One caution: don't let the house sit empty and uninsured for long. Tell the insurance company it's vacant; a standard homeowner policy often excludes damage at a home nobody lives in.
Who has the authority to sell
- The owner. If your parent owns the home and can still make decisions, they sign. Nothing happens without them.
- Power of attorney. If a parent has signed a durable power of attorney that gives someone authority over real estate, that person may be able to sign. Check exactly what the document authorizes, and have a lawyer confirm it before you rely on it.
- A trust. If the home is in a living trust, the trustee signs according to the trust's terms.
- An estate. If the owner has died, the personal representative named in the will (or appointed by the court) handles the sale through probate.
If there are siblings, sort out expectations before the listing, not after. Who gets the piano, the photographs, the tools? Decide while the house is still full, not in the driveway on closing day.
Taxes at a glance (but ask a professional)
The main federal tax break for a home sale is the capital-gains exclusion: a single seller can generally exclude up to $250,000 of profit, and a married couple filing jointly up to $500,000, if they owned and lived in the home as their main home for at least two of the five years before the sale. When a parent dies, heirs often get a "step-up" in the home's basis to its value at death, which can sharply reduce the taxable gain. These are general rules with exceptions — inherited homes, rentals, and homes titled in a trust all play out differently. Confirm with a CPA or tax attorney before you count on it.
Repairs worth doing — and the ones to skip
Usually worth it
- Fresh paint in believable, neutral colors
- Deep clean, including carpets and windows
- Fix the obvious: a running toilet, a broken door, a burned-out light
- Trim overgrown landscaping and clear the entry
- Replace worn light fixtures and switch plates
Usually not
- A full kitchen or bath remodel for a house about to sell
- New flooring throughout while you're still sorting belongings
- Big-ticket "improvements" that eat the profit
- Anything that delays the sale past the move date
Want an agent who has done this before?
Tell us where the house is and when you'd like to sell, and we'll make an introduction.
What happens to everything inside
The house usually has to be empty to sell well, but the contents are often a bigger job than the sale. A senior move manager can run the whole thing: family members claim what they want, an estate sale or consignment handles the rest, donations get picked up, and a hauler takes what's left. See downsizing and moving for how that works and what it costs. Paperwork matters here too — keep the deed, tax records, warranties and any recent appraisals; shred old statements and anything with account numbers.
Questions about selling
Do all the siblings have to agree?
If one person owns the home, no. If it's owned by several heirs or held in an estate, in most cases all decision-makers need to sign or the sale goes through the estate's representative. Get the ownership and the will in front of a lawyer before listing.
Can we sell if my parent doesn't have a power of attorney?
If your parent can still sign, they can sign at closing or give someone authority. If they cannot, and there is no power of attorney or trust, the family may need a court process such as guardianship or conservatorship to sell the home. That takes time, so plan early.
Should we make repairs or sell as-is?
In most cases a small amount of cosmetic work pays for itself; major remodels usually don't. "As-is" can sell faster but for less, and some buyers can't get financing on a house in poor condition. Ask two agents for their honest read.
What if we need the sale money for the community?
Many communities will hold a unit with a smaller deposit and let you pay the rest when the house closes. Ask the community to put the timing and any fees in writing before you commit.
Sources
- IRS — Topic 701: Sale of your home ($250,000 / $500,000 gain exclusion)
- Medicare.gov — Long-term care coverage