Savings and Investments

Investing in Real Estate

What tax advantages are there to home ownership?

One of the great benefits of home ownership is the tax shielding aspect of having a mortgage. Essentially, the government allows you to deduct or not count the amount of mortgage interest you pay in one year against your income for that year. Another sizable advantage, and one of the principle benefits of home ownership, is that up to a certain value ($500,000 for a married couple), you do not have to pay taxes on the gain in value of your house. You may also deduct your property taxes when you file your income taxes, if you itemize deductions.


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