Gifts of Real Estate with Retained Life Interest

A gift of a remainder interest in a personal residence or farm can provide you with a charitable deduction for the present value of the remainder interest and permits you to escape the potential capital gain tax on the built-in appreciation.

More importantly, you can continue to occupy the residence or operate the farm without disruption. However, making such a gift does not require that you remain in the residence. If you choose to move out, you have several options:

• Renting out the property and retaining the rent
• Converting the retained life interest to a stream of income for life
• Selling and dividing the proceeds with the charity in proportion to their respective interests in the property
• Making an additional gift of the retained interest

For more information

To learn more about making a gift of real estate, please contact our Office of Major and Planned Giving.