The bottom line is that you'll wind up with both a charitable deduction and an annuity. There are some legal bills up front, but you avoid the ongoing expense of administering a trust. You will have to pay tax on the annuity income you receive. Your heirs won't be able to inherit the home. In any gift annuity, the charity has to pledge all its assets to back up the promised payments.
Different states have different laws concerning annuities.
You will have to sign a separate agreement promising to maintain the home, pay property taxes and insurance. Many charities accept homes as gifts and allow the donors to remain in them but will not combine this strategy with a charitable gift annuity. The IRS has been good to us by designating our organization as fully tax-exempt. Any creative plan to donate will undergo rigorous scrutiny to ensure full compliance with the law so as not to jeopardize our tax-exempt status. Please be patient, we receive an incredible amount of email.