Gifts of Real Estate

A gift of real estate may be an attractive way to make a substantial commitment to NDSU and 
realize important tax benefits at the same time. You may be able to significantly reduce the amount 
of income, capital gains, and estate taxes you otherwise would have to pay. Finally, the disposal 
of your property can relieve you of management responsibilities and burdens.

Types of real estate

There are many types of real estate that may be suitable for a gift to NDSU.  These include a 
personal residence, vacation home, farm or ranch, commercial property, building lot, 
agricultural land, and undeveloped or unimproved land.

Making a gift of real estate

You deed the property to the NDSU Development Foundation. The Foundation then sells it, unless 
there is a special reason for holding the property. We can prepare the pertinent documentation for 
review by your counsel.

How you can save taxes

With a gift of real estate, you benefit from a Federal income tax charitable deduction for the 
appraised full fair market value of the donated property.  You may use your deduction up to 
30 percent of your adjusted gross income.  Any unused deduction can be carried forward until 
consumed up to five additional years if necessary. With a gift of appreciated real estate, you 
also avoid the capital gains tax. Furthermore, you may realize significant estate tax savings.

Additional considerations

Gifts of real estate require a written appraisal and IRS Form 8283 to substantiate your charitable 
income tax deduction. For your protection, you should not enter into any type of binding agreement 
to sell the real estate before deeding the property to the NDSU Development Foundation. 
Mortgaged property requires special planning.

If you would like to receive more information about gifts of real estate, please e-mail Scott Barrett 
or call us at 701-231-6837 or 1-800-279-8971. 

     You can write to us at: 
     NDSU Development Foundation 
     1241 N. University Dr. 
     Fargo, ND 58102