What deductions can homeowners take?
If you own a home, you may be able to deduct:
Mortgage interest (including points)
Mortgage insurance (PMI or MIP) The deduction isn't available for 2025, but it is set to return for the 2026 tax year and has been made permanent by recent legislation (the "One Big Beautiful Bill Act"), meaning homeowners can first claim it when filing their 2026 return.
Unless it's a rental, you won't be able to deduct homeowner's insurance, repairs, or home improvements.
I just bought a house, what can I deduct?
If you just bought a house, you may be able to deduct:
Mortgage interest (including points)
Mortgage insurance (PMI or MIP)
Unless it's a rental, you won't be able to deduct homeowner's insurance, repairs, mortgage insurance (2025),or home improvements. Also, moving expenses are no longer deductible for most taxpayers.
Be sure to hold onto your closing statement, as it lists expenses that could be deductible, like points and prepaid interest.
Also, start saving your home improvement receipts. You won't be able to deduct those right now, but they can reduce your gain (along with any capital gains tax) when you sell in the future.
