The purchase of a personal residence is not reported on a federal tax return. You can deduct as itemized deductions any mortgage interest paid, property taxes paid and points paid on the mortgage loan. However, your total itemized deduction on Schedule A must be greater than the standard deduction for your filing status to have any tax benefit.
Standard deductions for 2018
- Single - $12,000 add $1,600 if age 65 or older
- Married Filing Separately - $12,000 add $1,300 if age 65 or older
- Married Filing Jointly - $24,000 add $1,300 for each spouse age 65 or older
- Head of Household - $18,000 add $1,600 if age 65 or older
