Real Estate Gifts
Real estate often becomes the most challenging asset to deal with in an estate plan. To begin with, real estate may be your most valuable asset. It may be located in a different state than your state of residence. It may be your most illiquid asset. And the capital gains tax breaks available when you sell your personal residence do not apply to non-residential properties. You may find that transferring ownership to Curtis, now during your lifetime, or with a deferred arrangement such as a charitable remainder or a bequest, may give you significant benefits while helping Curtis build a stronger endowment.
Benefits to donors
- In some cases, an immediate income tax deduction based on property's full fair-market value
- Avoidance of the hassle and expenses of selling the property
- Possible reduction of the size of your your taxable estate, thus lower estate administration costs
- Immediate recognition from Curtis and membership in the Founder's Society
- A significant income tax deduction is generated when the donor gives the home, farm, vacation home, or condominium to Curtis while enjoying its use for life. This is commonly known as a retained life estate. In such a case, the donor can continue living in the home for their lifetime, retaining the right to rent the property or make improvements.
This information is not intended to be legal advice. Curtis encourages donors to consult their attorney and financial advisors about the application of charitable annuities, bequests, and trusts to their particular situations.
Charles Sterne III, director of principal gifts and planned giving, (215) 717-3126