Tax deductions for homeowners

All of the Santa Clarita homeowners should take advantage of the tax deductions, write-offs and tax breaks available for this year in 2015.

Mortgage interest tax deduction

Homeowners should take a mortgage interest tax deduction. To qualify, the mortgage must have some sort of residence associated with it. All forms of homes and residences would qualify such as a mobile home, trailer, house-boat, condominium or house as long as the tax payer lives in it.

Property tax deduction

Homeowners can deduct the taxes paid on their property. If you worked out to include these taxes to be paid through your mortgage holder you can contact them for a copy or the County Tax Assessor’s office for a copy of your annual tax bill if you don’t have a copy on hand. It is generally mailed out to the homeowners, including the special city and local assessments each year.

Prepaid insurance premiums as tax deductions

Homeowners should also take advantage of deducting many types of prepaid insurance premiums, ie. VA, FHA,PMI and closing costs associated with the property when it was purchased. PMI can only be deducted for a residence purchased in 2007 or later, this may be the last year this deduction is allowed so be sure to claim it. PMI is a private mortgage insurance which buyers are required to take if they are putting less than 20% down on a residence. A homeowner can also deduct any prepaid property taxes for 2014 paid on the residence, your HUD provided by the escrow company would list all of these “prepaid” and “other” often tax deductible charges.

Prepaid interest and point as tax deductions

Homeowners should take a tax deduction for any prepaid interest or points. Usually this interest is fully deductible the year of purchase. However, it can also depending on the situation be fully or partially deducted for a refinance.

Prepaid interest and points for a refinance as a tax deduction

In the case of a refinance, the amount of the tax deduction and if and when it can be taken would depend on whether the refinance money was used 100% towards home improvements. If the refinance money was used for other purposes than a partial deduction spread out over the life of the loan may usually still be taken.

Tax deductions for energy efficient home improvements

Homeowners should also deduct any home improvements that make the home more “energy efficient.” Some examples of these would be installing solar panels, roof, energy efficient water heaters, windows, doors, insulation, Star rated air-conditioners and heaters and certain appliances. Also check with the electric company for possible rebates on some of these items. For your roofing, talk to your roofing company like Bondoc Roofing about this kind of improvement.

Tax deductions for rental and vacation properties

Homeowners should also take advantage of the deductions offered for any rental property or vacation homes that they own. Many of the improvements and upkeep charges to these types of properties are tax deductible.
Feel free to contact Lauren Nemeschansky, M.S., Realtor at REMAX of Santa Clarita direct phone number (661)310-8215
Email:RealtorLauren@gmail.com
Visit my website at www.scvknow.com
This information is for general and educational purposes only and should not be relied on for tax purposes. Please check with your tax professional for details about which if any deductions would apply to your particular situation

About Lauren Nemeschansky

I am a local real estate agent here in Santa Clarita, a suburb of Los Angeles. I love to write about real estate buying and selling and address some difficult issues such as divorce and real estate, short sales, probate and relocation. I use the power of the internet and my blog to educate because in real estate “knowledge is power.” I will also enjoy some guest bloggers who are experts in their fields such as mortgage lenders, attorneys, and credit repair experts. Don’t forget to follow me on google+ and connect with social media sites!