Here are point that I understand to be primary areas of impact for homeowners from the new tax laws. I am not an accountant. Talk to your tax adviser for specific tax ramifications and advice for you.

  1. Capital gains tax on the sale of your primary residence is still excluded on sales prices up to $250,000 for a single taxpayer and $500,000 for a couple
  2. Interest on home equity loans can no longer be deducted unless the funds are used for significant home improvements
  3. With the doubling of the standard deduction to $24,000 for a married couple, many households will no longer itemize deductions meaning they won’t see benefit from the mortgage interest deduction
  4. Mortgage interest deduction is capped at $750,000 for new loans
  5. Deductions for state and local taxes including property taxes, income and sales taxes  are capped at $10,000

Consult your tax accountant for specifics on how it will affect you.

 

About Sharlene Hensrud

I love what I do! Highly insightful, analytical and creative, there is nothing I love more than helping you find the right solution for your real estate transition. My mission is to serve my clients with honesty and integrity, exceeding their expectations in service and support… and to help others by donating a portion of every transaction to Habitat for Humanity.

Related Posts

Mortgages are getting more affordable for first time homebuyers

With several changes in the last couple of months, Fannie, Freddie and FHA have made it much easier for first time homebuyers!  There have been some major changes in the last two months that are all positive and will make financing your home easier. Fannie and Freddie both came out with 97% mortgages (3% down).

Read More

How fast can I close my loan?

Over the last few months I have had several clients ask how fast can we close?  The answer depends on how quickly you can get the required documentation to me and how fast the appraisal and title work get completed!  Typically it takes about 30 days, however I have closed mortgages in 7-10 days.  That is.

Read More

Planning to buy a condo with FHA or VA financing? Find out which ones are approved!

Did you know that not all condos are approved for FHA or VA financing? That's right… in order to qualify for FHA/VA financing a condomimium project must be on their pre-approved list. If these are your only financing options, be sure to find out if a condo is FHA/VA approved before falling in love with it! MLS listings.

Read More

Leave a Reply

Be the First to Comment!

Notify of
avatar
wpDiscuz