If you purchased a home in 2022 (and even before!) you may have some changes to your taxes this year! Homeowners receive many tax breaks that renters don’t get. Let’s take a look at 4 can’t miss tax breaks for 2022 homebuyers.
4 can’t miss tax breaks for 2022 homebuyers
01. A HOMEOWNER’S BIGGEST TAX BREAK? MORTGAGE INTEREST! – If you’re a homeowner, being able to save on your yearly mortgage interest can be an incredibly lucrative perk. For those filing taxes jointly, it’s possible to deduct up to $750,000, while single filers get $375K.
02. DID YOU BUY MORTGAGE POINTS? DEDUCT THOSE, TOO! – Mortgage points are considered prepaid interest, so they can be added to total mortgage interest reported. This is an easy way for you to reduce what you owe to the IRS during tax season.
Your tax professional can help you take advantage of all the tax brakes you qualify for
03. MORTGAGE-INTEREST TAX CREDIT FOR NEW HOMEOWNERS – If you’ve applied for a mortgage from your state or local government, you may be eligible to receive additional tax benefits! Mortgage Credit Certificates allow qualified homeowners the chance to get back some of their hard-earned money in the form of credits against taxes they owe. These returns won’t net any extra cash — but could provide significant savings if used toward owed federal taxes.
04. DON’T FORGET TO CHECK PROPERTY TAXES, TOO! – You may be able to deduct up to $10,000 combined from your property taxes and state or local income on federal tax returns. But it’s essential for you to track all annual property tax payments in for this deduction to be used.
Make sure you check with your tax advisor to see which, if any, of these tax breaks you may qualify for this year! Ready to become a homeowner and start taking advantage of these perks? Click here to connect with a S&C agent and set up a buyer discovery meeting!