Charitable giving is big business in the U.S. It is estimated that $316.23 billion was donated in 2012 by American individuals, corporations and foundations. Americans donate money, clothes, food, their time, household items, cars, boats, homes, and…land. In fact, 2-3% of charitable donations involve land, according to the Chronicle of Philanthropy.
Land, whether a residential lot or large acreage, is often donated:
1) to help a greater cause,
2) as part of a family or corporate legacy, or
3) for tax benefits or other financial purposes (or a combination of these motives).
Land owners with unwanted property sometimes decide to donate land – instead of selling land – due to the costs involved, especially if the costs outweigh the actual land value. Donating land directly to charity can be an attractive option in lieu of a cash donation as it helps the land owner avoid capital gains taxes, the ongoing costs of maintaining the land and a potentially lengthy sales process. If you’re considering donating land, you may want to consult a tax attorney, investment advisor and/or real estate agent for advice about achieving your goals with such a donation.
Donating Land: Blessing or Burden for the Charity?
Every day, land across the U.S. is donated to charitable organizations, whether their causes include religious, conservation, economic development, community, government, arts and any number of other goals. Often the donation can be a blessing to these groups, perhaps allowing for a much needed building expansion or preserving in perpetuity a conservation area for the benefit of the environment and generations to come.
In some cases, however, donated land can be more work than it’s worth for the charity. Although possibly a valuable asset, a singular donated lot located miles from the charity’s operations or acreage that cannot be feasibly developed for the organization’s benefit may not make sense for the charity to keep. The maintenance obligations, liability risks and costs of development for the land can be too burdensome and simply may not match the organization’s mission. When this is the case, it may be best for the charitable organization to sell the lot or land so that the funds may be put to better use or provide a better return for their cause. As long as the donor hasn’t placed restrictions on the land that prohibit its sale or subsequent use, liquidating the land by selling often is a very attractive option to the charity.
LotNetwork.com’s offer…
LotNetwork.com is lending a hand to charitable organizations that want to sell their unneeded lots or land. As the premier web site for the marketing of residential lots and land, we’re offering an Unlimited Premium Listings package to support qualified charitable organizations in marketing their listings directly to our audience of targeted lot and land buyers…for Free.
So if you work with a charity that has land and are interested in learning more, please contact us at customerservice@lotnetwork.com and we’ll be happy to talk with you – and help you sell that land.
