Every blog article within Orlando LGBT Real Estate Pages touches on some aspect or interest related to real estate within the LGBT community. Whether it's a story on a new listing or a restaurant in a great neighborhood, flipping stories, remodeling, purchasing properties, decorating, etc., my articles will focus on two things I enjoy most: houses and the gay and lesbian community.
Did you know that homeowners pay taxes to their local jurisdictions, such as
the county, city, or school district? Did you know those property taxes are fully deductible?
Whether it's a $750,000 owner occupied home in Thornton Park, Orlando, or a $300,000 rental condo in Boys Town, Chicago, all property owners (landlords and regular homeowners alike) take advantage of this important deduction.
Unfortunately, renters aren’t eligible for this property tax deduction since it's only offered to property owners, not renters.
Landlords don't own rental properties because they enjoy late night phone calls about the over flowing toilet or broken AC, they own rentals because YOU, the RENTER, through your monthly rent payments, indirectly pay the landlords taxes and mortgage payment...while he/she gets all of the deductions!
PT. 1 Mortgage Interest Tax Deduction Article May 6, 2015.
Do you know the mortgage interest deduction lets homeowners deduct the interest on their home mortgage up to $1 million ($500,000 if you’re married filing separately)?
In fact, because a greater share of the house payment during the first few years of the loan goes toward interest, roughly two-thirds of the monthly mortgage payment is deductible interest.
That can translate to a hefty tax deduction!
For example, a $200,000, 30-year fixed-rate mortgage at 4% will result in $8,000 interest the first year you own your home. Deducting that interest will save you $2,000 if you’re in a 25% income tax bracket ($8,000 x 0.25 = $2,000) and even more if you are in the 15% bracket.
In addition to the mortgage interest deduction, homeowners (and landlords) take advantage of other deductions that renters don't. The landlord and apartment complex owner gets all the tax benefits associated with property ownership while the renter typically pays the cost.