I bought a house, what can I deduct?
If your new home meets these conditions, you can deduct:
- Mortgage interest
- Mortgage insurance (PMI/MIP) points
- Real estate/property tax
- Charitable donations
- Moving expenses
Saving your closing statement is a good idea as additional expenses incurred could be tax deductible, including prepaid interest (points) you pay at closing. We’ll walk you through the process and tell you how and where to enter your information.
Also, save all of your home improvement receipts because if you move and sell at a high profit, these expenses can lessen your odds of having to pay capital gains taxes.