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> Mortgage interest is tax deductible Since 2017, not really, due to tax law changes. Cap of $10k but that includes state taxes paid also.
by supportengineer 3y ago
> Mortgage interest is tax deductible
Since 2017, not really, due to tax law changes. Cap of $10k but that includes state taxes paid also.
- toast0 3y agoI was under the impression that the $10k cap is for SALT and mortgage interest is separate? The mortgage interest deduction was reduced, interest on new loans is only deductable for the first $750k of debt, instead of $1M, and mortgage rates were really low in 2017; capped SALT + a relatively low interest rate on $750k might not combine to more than the standard deduction if you're married filing jointly. Certainly on my ~ $350k mortgage @ 3.15%, I stopped itemizing after the tax changes.
- chickenpotpie 3y agoAbsolutely not. That's property tax, not mortgage interest.
- jdmichal 3y agoThe bigger change for mortgage interest was the massive increase in the standard deduction in 2018 to $24,000 from $12,700. We were barely doing better than the standard deduction prior to that, and the increase put us pretty far into "just take standard" territory.