Undivided Interest in Real Estate
Quite often families have real estate for sale which has appreciated significantly in value - residential property, vacation property, farm land, or commercial property. Such an individual can be approached prior to the sale of the property to give an Undivided Interest in the property to Creighton Preparatory School.
Upon the sale of the property, the School's attorneys would attend the closing proceedings along with the majority owner. The title company will write a check to Prep for their share of ownership in the property, and the donor will receive a charitable tax deduction for the current fair market value of the property given to the School (determined as of the date of the donation). No capital gains tax will be levied on the appreciated value of the property given to the school. Timing of the donation is crucial and tax advice should be sought.