- Property taxes and qualified interest are deductible on an individual’s federal income tax return.
- Often a home is the largest asset an individual has and is considered one of the most valuable investments available.
- Depending on your loan, a portion of each amortized mortgage payment goes to principal, which is an investment.
- A home is one of the few investments that you can enjoy by living in it.
- A REALTOR® can usually show you any home whether it is listed with an agency, a builder, or even a For Sale by Owner.
- Working through a REALTOR® to purchase a For Sale By Owner home can be very advantageous because someone is looking out for your best interest. In most situations, the seller is willing to pay a fee to a Buyer’s Agent.
- A homeowner can exclude up to $500,000 of taxable capital gain if married and filing jointly, or up to $250,000 if single and filing separately. The home must have been the taxpayer’s principal residence for two of the previous five years.
- As of May 07, 1997, there is no longer a requirement to purchase another primary residence more expensive than the one sold.
- Homeowners are free to buy or down with no tax consequences assuming their gain is less than the allowable amounts (see 7).
Remember to ask the Real Estate professional . . .
. . . if they are familiar with the communities where you want to live
. . . whom he/she is representing in the transaction
. . . what he/she will do to keep you informed
Your real estate professional should provide you with the highest level of service and advice.