Through an outright gift you can deed Stonehill your property and gain an income tax deduction for the appraised value of the home, avoid capital gains tax on highly appreciated property, and designate how you would like your contribution to be used to further Stonehill’s educational mission.
It is also possible to continue to live in your home during your lifetime and irrevocably deed it to Stonehill at your death. This gift arrangement is called a Gift of Real Estate or a Life Estate Gift and allows you to make a valuable donation to the College while receiving certain tax advantages immediately.
If you want to receive income, you may want to give real estate to a Charitable Remainder Trust. For example, a residence could be placed in the trust, sold by the trustee, and then reinvested in a diverse portfolio of liquid assets. In doing so, you can claim a current charitable income tax deduction for a portion of the home’s value. After the property is sold you can receive a lifetime income from the trust at a fixed or variable rate. After your death, the trust principal will benefit Stonehill College in an area of your choosing, like academic scholarships, athletics, or campus improvements.
Life Estate Gifts
A Life Estate Gift through a life estate contract enables you to give a personal residence to Stonehill and to retain lifetime use of it for yourself, for your spouse, a friend or loved-one.
Life estate contracts allow you to:
- Retain the use of the residence and any income derived
- Realize an immediate income tax savings
- Realize an eventual estate tax savings
Your income tax savings is based on the present value of the gift of the remainder interest to the College. If you have already left property in your will to Stonehill or are considering such an arrangement, you may want to consider this Life Estate Gift option so you can benefit from a current income tax deduction.
As you can see, there are many options when considering a gift of real estate. We are happy to discuss any of these options or their variations in more detail.
For more information, please call the Gift Planning Office at 508-565-1344.