Posted on December 28, 2017 - 04:31 PM
by O'Grady Realty
Realtors and home owners were nervous about the potential tax code changes and how it would affect their wallets. Thankfully homeowners can still deduct their mortgage interest though there is now a cap on mortgage debt up to $500,000. They can also continue to deduct property taxes, however this is now capped at $10,000. Fortunately, the rules for avoiding capital gains taxes were untouched. Yes these real estate deductions have been limited a bit but we realtors feel fortunate because it could have been worse.
Real estate is still a fabulous investment! Our property values are almost back to pre crash levels and there is a lot of talk about interest rates increasing in the coming year so if you are thinking about buying now is the time!