Real Estate – Generate more dollars for charitable impact.
Whether it’s the family home, undeveloped land, a rental property, or some other investment, your real estate held for more than one year may be the most highly appreciated asset you own. This means you could face significant capital gains taxes if you sell your real estate. Depending on your particular financial and charitable goals, donating real estate to a 501(c)(3) public charity, such as New Life Family Services, could allow you to leverage one of your most valuable investments to achieve maximum impact with your charitable giving.
What are the benefits of donating appreciated real estate held for more than one year?
- Unlock more dollars for charity now, without waiting for a liquidation event
- Maximize available income tax deductions using non-cash assets (up to 30% of AGI)
- Reduce or avoid taxes on annual income from the gifted portion, providing increased cash flow
- Avoid or reduce capital gains on the gifted portion if and when the property is sold
- Reduce estate taxes, since a portion of the property is owned by your DAF (not your estate)
- Create innovative asset transfer opportunities (2nd generation, 3rd party, key employee, etc.)
Donor-advised funds provide an excellent gifting vehicle for contributions of real estate, as the DAF administrator typically has the resources and expertise for evaluating, receiving, processing, and liquidating this type of gift.
For more information on gifting income from real estate to New Life, please contact Tammy Kocher, Executive Director at firstname.lastname@example.org or (612) 746-5664.