Did you know you could donate your house to charity, take an income tax deduction, and continue to live in it rent-free? A life estate gift is an arrangement in which a donor gives his or her home to a charity while retaining the right to live in the home for the remainder of his or her life. The property must be mortgage and obligation free in order to use such property for a life estate gift. If the donor is itemizing deductions, the donor receives an immediate income tax deduction equal to the present value of the remainder that will pass to the charity. The charity may sell the property upon the donor’s death.
How It Works
- You sign a deed transferring the title to your residence, farm or vacation home to the Archdiocese of Milwaukee. You continue to live in the property for life and you are responsible for all property taxes, repairs and upkeep.
- The property passes to the Archdiocese of Milwaukee at your death.
- You do not retain the right to sell or mortgage the property during your lifetime.
Contact us for assistance and to review the Archdiocese’s current policy for accepting real estate gifts.