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Eileen and her husband, Paul, enjoyed their house. They had raised their three
children there and had many family memories. But after Paul passed away, Eileen
began to find that the old house was a burden. Without Paul to take care of things
and with their children involved in their own families miles away, it seemed that
the house was too big, too old and even a bit lonely. Eileen: "Paul
always said that I was the solid one. If there was a decision to be made I could
get to the bottom line pretty quickly. Well, the bottom line was that I needed
to make a change for a number of reasons. I decided to move into a smaller place
in town, easier to take care of and one that was part of a neighborhood where
I could make some new friends and be a part of activities and things. And where
my grandchildren could still come and visit." "Paul and I had talked
about what to do when we got to this stage in our lives. I just thought Paul would
be here with me, but that wasn't to be. We had planned and knew I would have enough
money to live comfortably. Initially we thought I'd need the money from the sale
of the house, but I really don't." "My advisor went over the numbers
with me. If we sold it, there would be a large capital gain and taxes to pay.
But by putting the house in a trust that then sells it, I avoided having to recognize the taxable capital gain right away. The trust takes all the money from the sale of the house and invests it, and I get the income from the trust
for life. Then, an organization that is doing great things will receive the remainder
of the trust and that will even save some estate taxes." Depending
on the circumstances that are involved, gifts of real estate can be an effective
means of planning a gift. Much of the individual wealth in America is invested
in real estate. While the first thought often is a home or farm, real estate also
can involve a vacation or second home, an apartment or commercial building, a
shopping center, or undeveloped land. Also, there are many ways to donate
property. It can be an outright gift, a retained
life estate, or placed in a
trust (such as what Eileen and her advisor set up). In any case, while we
discuss some generalities here about donating real estate, if you are considering
such a gift to Floyd Healthcare Foundation , please contact
us to discuss its suitability. Gifts of real estate can enable us
to make significant contributions. Each piece of property and its unique circumstances
need to be reviewed to determine the suitability of the property as a gift. Generally
speaking, a rule of thumb is that an acceptable piece of property is one that
can be readily sold. In addition to making a significant contribution,
there can be other benefits
for you. Please contact us to discuss your unique
circumstances. Return to Wills and Bequests
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