Using rental property as an assisted living home for elderly

[Matt Fisher]

Hi All,

Got a call from a gentleman wanting to rent my property to use as an assisted living home for elderly. Does anybody have any experience with this? The property is a 3/2 single family in a normal community with HOA. My initial thought was no, but had a friend tell me he was familiar with this type of operation. Any feedback is appropriated.

Thanks

[Justice Jacobs]

@Matt Fisher

I personally have never rented a home to another individual to do this, but I do have experience as the owner-operators of RAL's.  One of the most effective ways to mitigate your risk if you ever decided to allow someone to operate this type of business out of your rental is to, like @Gail K. stated, make sure they are licensed to manage and adequately take care of the individuals they are caring for. 

You would check with the state regulatory agency for the proof that they are licensed via whatever state the home is located in. This information would also show major infractions, potential cases of abuse and/or neglect, complaints, etc. Further, HOA's would more than likely have an issue with operating this style of business in the neighborhood as they sometimes consider these boarding houses. Message me if you have any further questions.