Real Estate

If you have a property you would like to dedicate to charity, IRUSA can now accept it and either use it, rent it out, or sell it to benefit our future charitable work.

There are a few kinds of real estate gifts:

The method known by most people is to leave a bequest in their written will. According to Islamic guidelines, you may donate up to 30% of your estate to charity in this way.

Sometimes, there are other ways that can prove even more beneficial to you while providing the same benefit to IRUSA and people in need. If you donate real estate during your lifetime, it may ease your other financial burdens through tax benefits.

If you still need the property, you can see some of these tax benefits by donating it while still retaining use of it during your lifetime. This is known as a retained life estate gift. You receive an immediate tax deduction, and the property is excluded from your taxable estate.

Example (primary residence):

A 75-year-old donor creates a retained life estate with a primary home valued at $500,000 in October 2009. She receives a tax deduction of $333,333 and can remain in her home as long as she chooses. The 2009 deduction is 26% higher than it was just two years ago, because interest rates are so low.