Tax Benefits for Home Buyers?
A lot of people owner, if buying a home by the end of the calendar year allows them to receive tax benefits. Nevertheless, we are going over the details on why this may or may not be true.... If you'd prefer to read the transcript, it can be found below the video.
Greetings. Occasionally, a buyer will tell me they want to buy before year’s end to take advantage of the tax benefits. Curious as to what those are? Well, so am I, because I’ve been selling real estate since 1999 and I still don’t know what tax advantages exist by buying a home right before the end of the calendar year. Regardless of when you buy a home, you can deduct whatever mortgage interest you have. As far as property taxes, you can deduct up to $10,000 based on the current tax code (well, at least that’s the rule as I record this in early 2022). But I don’t know of anything that is time sensitive. Maybe you could say that the Texas homestead exemption is time sensitive, but I think that’s a stretch in many circumstances and completely irrelevant effective January 1, of this year with the changes to homestead rules. If you are one of those who know about this mysterious tax advantage, please let me know, because I’m really curious! I’m Craig Smyser with 1835 Realty.