If you answered “yes” to any of these questions, a gift of real estate to RMHC Central Valley may be a good option for you.
Benefits to you include an income tax deduction for the property’s fair market value and avoidance of potential capital gains taxes.
If you do not wish to donate the entire property, you may deed RMHCV an undivided partial interest. The property is then sold and you receive the cash on your interest. Your charitable deduction for the gift portion can help offset the capital gain tax on your portion of the property sale proceeds. In some cases, the transaction can be a “zero tax” sale.
Still need income from the property? A Charitable Remainder Trust may be a great option for you. The property is irrevocably transferred into a trust and then sold. The proceeds are then invested and generate earnings which pay you income for life or a term of years. Some of the income may be tax-free. Upon your passing, the remaining principal goes to RMHCV to support their hope-inspiring work. Additional immediate benefits to you may include a substantial income tax deduction and no capital gains tax at the time of the gift.
You can make a testamentary gift of real estate through your will or trust.
