It seems like every year tax season sneaks up on us all. This may be a blessing for some but a huge burden to others. Regardless of where you sit come tax time one thing is for certain those homeowners who own homes will receive a tax break. All of our situations are different so please consult a tax professional to figure out your own tax burdens and gains.
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Mortgage Interest tax deductions:
One of the huge advantages of own your home is you are able to write off the accumulated interest you paid on your home mortgage for that year. This interest is tax deductible which really helps save come tax time. This can provide many a huge tax break and can mean the difference in paying or receiving during the tax season. Even if you have two loans against your house you may still be able to be deduct your interest paid (please consult with tax advisor).
Mortgage Costs Tax Deductions
If you have recetly bought a house some of the closing costs may also be tax deductible. Discount points paid as a result of a new mortgage are tax deductible. It is common for somebody to pay discount points in connection to a refinance or purchase so they can receive a lower then normal or market interest rate for their loan. There are many reasons why a homeowner would pay discount points. You have to do the math to make sure it makes sense for you
Other Home Tax Deductions
The property taxes one pays through the year to their assessor are also deductible. This is nice because as they go up you get a bigger tax deduction. Some other tax deduction associated with the house are home improvements that you made and for your home office.
Homeowners: Take advantage of these deductions
If you are a homeowner and want to know more on these tax deductions you can claim please talk to your tax expert. If you would like to refinance or buy a new home please call us at 800-555-2098 today!