FOR LA OWNERS CONSIDERING A SALE
Should you sell your LA rental in 2026 — or hold?
Before you list, read the free 13-page LA Owner Playbook. Chapter 10 walks through the actual math on selling, refinancing, and 1031-ing an LA property in this market — with numbers, not vibes.
Sell now, or keep it another 3 years?
Most LA owners running the numbers on a sale are missing three variables that flip the answer: the effective tax hit after depreciation recapture, the reinvestment yield you can actually get today, and what your unit rents for on a proper 2026 lease.
The playbook lays out the full comparison — and shows why a lot of owners we talk to end up refinancing or 1031-ing instead of selling outright.
The choice on the table
- Cap gains + depreciation recapture
- 6% agent commission on gross
- Reinvestment risk in a 4-5% treasury world
- Lose the LA appreciation floor
- Refinance to pull equity tax-free
- Reset rent to 2026 market on next vacancy
- Keep the LA appreciation tailwind
- Depreciation continues to shelter income
Get the sell-or-hold playbook
Free 13-page PDF. Chapter 10 covers sell/refi/1031 with real 2026 LA numbers. Delivered to your inbox in under a minute.
Check your email — you’re in.
Your playbook is on its way. You can also download it directly below.
Common questions from owners on the fence
Is this really the right time to sell in LA?
Depends on your basis, your remaining depreciation runway, and what you’d do with the proceeds. The playbook has a decision framework — and if you want a run against your specific unit, book a free 30-minute call and we’ll build the model with you.
What’s the tax hit if I just sell outright?
Federal cap gains + California state (up to 13.3%) + depreciation recapture at 25%. For most LA owners who’ve held 10+ years, that’s 30-40% of the gain gone before you see a dollar. Your own number depends on your basis, how long you’ve held, and your bracket, so have your CPA run it before you list. The playbook shows the math.
What about a 1031 exchange?
Defers the tax entirely if structured correctly — but the 45/180 day timing rules bite hard, and finding LA-quality replacement property in the window is the real challenge. Chapter 10 walks through when a 1031 makes sense vs. when it’s a headache masquerading as a strategy.
Should I fix up the unit before I list?
Almost never worth it beyond cosmetic. Buyers of LA rental property price on the rent roll, not the finish level. The playbook has a “what to fix before sale vs. what to skip” list.
Want the math on your specific unit?
Free 30-minute call: sell/hold/refi run against your property, your basis, your goals. No pitch.
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- Los Angeles All County
- (310) 272-9847
- info@bessaproperties.com
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