Mortgage Interest Deduction Limits Clarified In Loan Love's New Article
SAN DIEGO, May 1, 2014 /PRNewswire-iReach/ -- LoanLove.com is a borrower advice website that has quickly become a trusted destination for current news and expert loan guidance. The website empowers borrowers with first-class knowledge, valuable resources, and connections to top-rated industry professionals. The many articles and guides on mortgage loan advice website can help loan borrowers find professional advice in a simple and timely matter without having to pool all their resources which can be seen in their newest article titled "Mortgage Interest Tax Shield (Maximize Your Savings)" The new guide shows readers the positive circumstances loan borrowers can attain from owning a home, such as mortgage interest deduction limits.
The newly featured article begins by stating that owning a home over renting can have it's perks, but quite possibly the most important of them all is the tax break home owners get from mortgage interest. "If you are like most homeowners, nearly all of your mortgage payment every month is going toward interest and not your loan's principle. The good news for taxpayers is that all that interest is deductible, as long as you itemize and don't just take the standard deduction. Unless, of course, you had to take out a home mortgage of over $1 million. In that case, you can expect the Internal Revenue Service (IRS) to limit your mortgage interest deduction" says the Loan Love article.
On top of all this, tax can be deducted from other mortgage loans, not just the home owner's first home mortgage. This can apply to home owners who have previously refinanced a home loan or secured a home equity line who will also get a tax break. Mortgage interest can even be deducted for home owners with multiple properties. The article mentions however, that in order to deduct points from a mortgage loan within the same year one of the following is required to be true in accordance to the IRS:
- The loan is for the purchase or construction of your primary residence
- Payment of points is an established business practice for your area
- The points you claim fall within the typical range
The article also establishes that there are different rule sets depending on the loan. An example of this is when a loan borrower is refinancing a loan, pay points over the lifetime of the loan can be deducted on a monthly basis rather than over the year's total. The Loan Love article concludes the article by telling readers the following:
"It's little wonder that the mortgage interest deduction is held up as one of the primary advantages of home ownership, at least from a financial standpoint. Forbes estimates that middle-class homeowners were able to save about $615 on average during the 2012 tax season, thanks to the mortgage interest deduction. In fact, the mortgage interest deduction is the biggest personal tax deduction available to taxpayers. Its popularity with politicians has rarely dimmed and it is often help up as the pathway for making home ownership—and the American dream—attainable for the middle class."
To learn more on mortgage interest deductions, please visit LoanLove.com for the complete article.
Media Contact: Kevin Blue, LoanLove.com, 949-292-8401, firstname.lastname@example.org
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