Fundraisers know that every gift counts, whether it is big or small, monetary or in-kind. And while monetary gifts are always welcome, non-cash donations, such as real estate, can bring about significant benefits as well. Real estate can be a powerful fundraising tool, offering a range of benefits to both the donor and the charitable organization. In this blog post, we will explore the possibilities of using real estate gifts for fundraising, discuss the advantages that real estate donations can bring, and offer some tips and best practices for making the most of these gifts.
Benefit #1: Enhanced Giving
The first and most obvious benefit of real estate gifts for fundraising is the increase in giving potential. Unlike cash donations, real estate donations usually involve high-value assets that can generously contribute to a fundraising campaign. In fact, real estate gifts can sometimes be worth more than the seller would gain through a traditional sale, as they can receive a charitable tax deduction for the full fair market value of the gift. This can give donors the incentive to give more and charitable organizations the resources they need to continue their work.
Benefit #2: Diverse Gift Mix
Another benefit of real estate gifts is their diversity in the gift mix, which can help organizations avoid dependence on any one area of giving. For example, a charity that primarily relies on cash contributions may have difficulty sustaining its fundraising over time; a diverse mix of gifts, including real estate, can support all aspects of its operations and mission.
Benefit #3: Positive Community Impact
Real estate gifts also offer the opportunity for positive community impact. Whether it is a building, vacant land, or a farm, real estate is tangible and is seen as a powerful tool that can be used to support the local community. A prime example is the donation of a property to be used as a community center or a shelter. Not only would the donation assist in the company’s fundraising campaign, but it could also have a tremendous impact on the community and become a lasting legacy for the donor and the charitable organization.
Benefit #4: Unique Giving Experience
Finally, real estate donations offer donors a unique giving experience. Unlike cash donations, real estate donations can be a personal and emotional experience for the donor, and can be linked back to their passions or interests. Donors can see their philanthropy in action, from the moment of the gift to the completion of the project or for as long as the center or charity is operational. This donor experience is meaningful and tangible, and can sometimes lead to long-term support and commitment to philanthropy.
In conclusion, real estate can be a powerful tool for fundraising that charities often overlook when seeking donations for their organizations. The benefits of real estate gifts are clear and their advantages can be an important part of any fundraising strategy. For fundraisers, it becomes increasingly essential to take a more strategic approach to philanthropy management, including understanding how to cultivate and engage donors with diverse backgrounds and interests and of course, this includes real estate gifts. By offering donors a range of giving options, from cash to real estate and all forms in between, charities can develop long-lasting, mission-focused partnerships that support their organizations and mission for many years to come.