Real Estate: Real Giving Power

Real estate often comprises more of our individual personal wealth than do stocks, bonds or outright cash. Imagine the good that those dollars could do for us and other nonprofits that you love.

You may view the process as complicated and time-consuming, and possibly contentious with heirs and other family members, but there are incredible opportunities for return with a gift of real estate.

Who Should Consider a Gift of Real Estate?

Nearly anyone who has appreciated real estate assets available—a primary residence, vacation condo or second home, commercial property or small rental units, for example—can leverage their properties to achieve their philanthropic goals.

Also keep in mind these factors that create the most favorable conditions for donating real estate. The donor:

? plans to use the charitable deduction

? owns property that has appreciated in value

? owns property debt-free or with a relatively small loan on the property

Why Consider a Gift of Real Estate?

Giving real estate must first—and always—stem from your goodwill to help us so that we can continue our mission and service.

But there are financial and philanthropic benefits that make gifts of real estate an enticing option. They may include:

? Receiving an income tax charitable deduction, equal to the appraised fair market value of the property.

? Eliminating capital gains tax that would result after first selling the property and then donating to the nonprofit.

? Getting cash back from the gift transaction, a lifetime income stream or being able to live on the property after the gift is complete.

What Should I Consider Before Moving Ahead?

Because real estate is often less liquid than traditional charitable assets like cash or stock, donating real estate can be more complex and take more time. You can work around these challenges through preparation and knowledge, and in some cases, end up with a better solution for everyone involved.

Assemble an Expert Team

Your team should include a financial advisor, estate planning attorney and a gift planning professional, as well as a consultation with your heirs and family members. We would be happy to help you and your advisors as you consider a gift of real estate to us. Contact us at phone or email to ensure the nuances of the transaction are clearly communicated.

If you wish to talk about how you can leverage real estate to make an impact in the lives of children, please contact me via Private Message.

Content courtesy of Stelter

The information in this publication is not intended as legal or tax advice. For such advice, please consult an attorney or tax advisor. Figures cited in any examples are for illustrative purposes only. References to tax rates include federal taxes only and are subject to change. State law may further impact your individual results.