You should always consult with your tax accountant or professional for full details of Tax Benefits.
An excellent benefit of owning your own home are the tax breaks that come with it.
Some possible Tax Breaks include:
- Interest paid on your mortgage - you may qualify to deduct, dollar for dollar, the interest you pay on your mortgage.
- Home Improvements - assuming additional debt to improve your primary residence can usually be taken as an itemized deduction on interest paid.
- Home Equity Interest - Interest paid on a Home Equity line of debt, up to a certain amount, can usually be claimed on your primary residence.
- Property Tax - If you are living in the home, you can deduct the real estate property taxes for the time you live in the home.
- Points - If you've paid points on your mortgage, you can deduct them. They can only be deducted in the year that you paid for them (usually the first year).
Some other areas where you may take tax benefits include:
- Points on a ReFi
- Purchase of a 2nd home or rental
- Sale of a home
- Home office expenses
- Moving expenses
You should always consult with a tax accountant or professional before attempting to claim tax benefits.