Gifts of real estate can be a win/win situation for donors and charitable organizations.

Donors who are paying ongoing maintenance, property taxes and often income taxes on unwanted property can enjoy significant financial benefits and peace of mind when they donate their property.

Depending on the size of the deduction, the donor can secure deductions for several years. The size of the tax deduction is determined by the current market value of the property, not the acquisition cost.

Donors are able to provide charitable organizations larger net gifts when donating highly appreciated assets that would be subject to capital gains taxes if sold while they own them. This additional value to the charity allows for greater impact in the community being served by the mission of the nonprofit.

For organizations like EBR, gifts of real estate can be a powerful tool in solving the scarcity of affordable housing and the development of co-work spaces that allow small business startups in depressed areas to grow in a supportive learning community.

By leveraging gifts of real estate, EBR can build and raffle a sustainable, highly energy efficient home and use the proceeds to build several more. The sales of those homes to moderate income families will generate the money required to build and raffle an additional home that will in turn generate proceeds to build several more. Using this method, the impact of a gift of real estate will be far greater than the value of the initial gift.

If you would like to be a part of the solution to affordable housing in the SF Bay Area and have real estate to donate,  contact us here for a complimentary review.

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