According to www.wikipedia.org, “A home mortgage interest deduction allows taxpayers who own their homes to reduce their taxable income by the amount of interest paid on the loan which is secured by their principal residence (or, sometimes, a second home).”
With the tax season upon us, we all look to lower our tax liabilities and strive to benefit from the most deductions possible. One of the greatest deductions can be the mortgage interest on your home.
The article, How to Deduct Your Mortgage Interest & Equity Loan Costs, written by Richard Koreto and published on www.Houselogic.com website, informs readers that, “deducting mortgage interest is a great tax benefit that can make home ownership more affordable.” Koreto also recommends spending some time going over the IRS publication Home Mortgage Interest Deduction 2012 so you really understand your options with deductions and the benefits that apply to being a homeowner.
In these tough economic times, every penny saved counts. To most home-buyers, being able to claim these deductions is crucial in homeownership. And, although this deduction is not for everybody, all homeowners can still benefit by building long term equity.