Thank you for considering a Gift of Real Estate to the Conventual Franciscan Friars of the Province of Our Lady of Consolation.
You might find it advantageous to donate real estate assets because the appraised value is sometimes more than what the asset will net after a sale in the marketplace. The appraised value of the asset at the time of the gift is deductible. The Friars use the real estate you donate to form a community of fraternal love and equality by supporting and calling one another to an on-going conversation in our vowed life.
A Real World Example…
John Braden inherited a small tract of land from his mother in 1948 which has a cost-basis of $3,000. Because of recent development in the area, the land has a current fair-market value of $53,000. Mr. Braden makes a gift of the land to the Friars, establishing a memorial in his family’s name.
The value: The friars have the benefit of a $53,000 gift. Mr. Braden has the benefit of a $53,000 income tax deduction which can be used in the year of the gift and, if necessary, carried over into as many as the next five years. Mr. Braden also avoids the capital gains tax on the appreciation of $50,000 which would have been due had he sold the property. Most importantly, Mr. Braden has perpetually memorialized the family name in a permanent relationship with the friars.
Donors might find it advantageous to donate real estate assets, because the appraised value is sometimes more than what the asset will net after a sale in the marketplace. Unsure if this is right for you? Let us help.
As soon as a gift is received and matched to a donor, the Mission Advancement Office sends an acknowledgment letter stating the nature of the gift, the gift valuation date, and the gift valuation amount and a clarification statement indicating no goods or services were exchanged for the gift.
Please note: The Province of Our Lady of Consolation, is a tax-exempt 501(c)(3) organization (EIN # 35-6019627) and does not provide tax, legal, or financial advice. Any document or information shared by our staff is intended to be educational. We strongly encourage donors to seek counsel from their own legal and financial advisors.